ASUS Partners with Dixon to Expand Local Manufacturing Capacity in Taiwan

ASUS Aims to Dominate Indian Market with Localised Manufacturing and Expanded Distribution

Taiwanese laptop maker ASUS is intensifying its push into India, with plans to have locally manufactured laptops account for 30% of its sales in the country this year. This marks a significant increase from the 10% local sales contribution in the previous year, reflecting the company's commitment to treating India as a "home market."

ASUS is working closely with its EMS partner, Dixon Technologies, to increase local sourcing of electronic components used in laptop manufacturing. This move is part of the company's broader strategy to expand its presence in India, where it now views the country as its largest market in the Asia-Pacific region and its third-largest worldwide.

Peter Chang, Head of APAC at ASUS, notes that the company is focused on deep localisation, understanding Indian consumers and building products and technologies that address their specific needs. To achieve this, ASUS is investing in distribution, service infrastructure, and financing options to sustain growth even as rising memory and storage costs push laptop prices higher.

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ASUS expects locally manufactured laptops to account for around 30% of its India business this year, up sharply from 10% last year. The company assembles consumer laptops in partnership with Dixon Technologies and is also exploring greater localisation of components through its manufacturing ecosystem.

The localisation push comes as India has emerged as a critical growth market for ASUS. The company is increasingly tailoring products, launch strategies, and distribution plans specifically for Indian consumers rather than treating the country as a standard regional market. ASUS has also ensured that most new global products are launched in India almost simultaneously with international markets and made available for purchase immediately.

ASUS is also closing in on its ambition of becoming the No.1 consumer PC brand in India. According to Arnold Su, Vice President, Consumer & Gaming PC, System Business Group, Asus India, the company grew around 30% in unit shipments during the first quarter of 2026 against market growth of about 10%, helping its market share rise to 21.7% in Q1. The share increased further to 24.7% in May, narrowing the gap with the market leader.

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"We do see that we still have a chance this year to challenge the number one position," Su said, noting that ASUS intends to maintain growth through premiumisation, expansion into smaller cities, and improved product availability despite industry-wide pricing pressures.

Beyond metropolitan areas, ASUS is betting that the next wave of growth will come from smaller cities and towns rather than traditional centres. The company now has a presence in more than 620 districts and around 2,000 talukas across India. It operates over 320 exclusive stores and 25 gaming stores, while continuing to expand its retail and service network beyond major cities.

Su noted that ASUS has found strong demand for premium laptops even outside metros, with some of the earliest buyers of high-end gaming machines emerging from smaller towns. The company is also expanding service infrastructure through additional service centres and "drop zones," allowing customers in smaller locations to hand over devices for repair without travelling long distances.

ASUS's expansion strategy comes amid an industry-wide rise in laptop prices driven by increasing costs of memory, SSDs, and AI-related components. Chang noted that prices are unlikely to fall anytime soon as AI adoption continues to fuel demand for critical components. To cushion the impact on consumers, ASUS is working on optimising product configurations and partnering with financing providers to improve affordability.

The company has seen a sharp increase in demand for EMI-based purchases. According to Su, EMI penetration across ASUS products has risen from around 20% in 2025 to 35-40% in recent months, with customers increasingly opting for longer repayment tenures. ASUS works with financing partners, including Bajaj Finance, to offer low-cost EMI schemes, helping customers absorb higher device prices through manageable monthly payments.

ASUS has already raised laptop prices by 20-30% in India over the past five months and warned that further increases are likely as memory, storage, and other key component costs continue to climb amid the AI boom. Despite the hikes, ASUS believes demand will remain resilient, supported by financing schemes, the Windows 10 refresh cycle, and growing consumer interest in AI-enabled PCs.

To secure supplies amid component shortages, ASUS has entered into agreements with key memory and SSD suppliers to ensure stable availability. The company is also leveraging its diversified processor portfolio, spanning Intel, AMD, and Qualcomm, to mitigate shortages affecting any one platform. ASUS believes these measures will allow it to maintain growth momentum despite broader market challenges.