From China+1 to Make-in-India: The Strategic Shift in LED Display Sourcing

Published on: October 28, 2025

China has been the main player for global electronics manufacturing, including LED display manufacturing for nearly twenty years. Much of the world’s LED display technology comes from Chinese factories, be it advertising billboards or high-resolution video walls. In the last few years, global supply chain disruptions, geopolitical uncertainties and rising costs have increased the search for alternatives, commonly known as China+1 strategy.

In this scenario, India has become one of the most prominent destinations for sourcing LED displays. The move from China+1 to Make-in-India is also getting easier due to the growing domestic market, strong government support and a developing manufacturing ecosystem. This in turn is giving a new face to LED display manufacturing.

Understanding the China+1 Strategy

Companies globally are trying to reduce their reliance on China by following the concept of China+1 approach and are sourcing and manufacturing from other countries. China remains essential, but businesses are on a hunt for supply chain alternatives in regions like Eastern Europe, Southeast Asia and India.

Industries such as electronics and LED displays witnessed weakness in global supply chains after COVID-19 pandemic. This led to trade tensions, rising labor costs and stricter export policies which pushed companies to reconsider where and how they source critical components.

Why India is Emerging as an Alternative

India’s emergence as a strategic alternative results from active policy and market dynamics. The Make-in-India initiative comes as a very effective tool for the country as it supports domestic manufacturing across electronics, semiconductors and displays. With government policies promoting Indian manufacturing, companies are encouraged to invest in local assembly and production.

India provides several inherent advantages:

• - Smart cities, sports arenas, entertainment and outdoor advertising demand largely domestically.
• - Skilled workforce in engineering and electronics manufacturing.
• - Competitive costs are available as compared to developed economies.
• - Strategic geographic location, enabling exports to both Western and Asia-Pacific markets.

The LED Display Industry Transformation

In the past, India has relied a lot on Chinese imports for LED display panels, controllers, modules etc. With integration and installation happening locally, the core technology has come from abroad. This scenario is changing quickly.

India is foreseeing fully automated LED display factories. These facilities will have the capacity to produce high- quality and energy efficient products that meet international standards. This will not only reduce reliance on imports but also allow for customization and faster delivery for both domestic and global clients.

Strategic Benefits of Sourcing LED Displays from India

For businesses and governments, sourcing LED displays from India offers various strategic advantages:

• Stronger supply chain will reduce dependency on China and keep the projects running consistently even during global disruptions.
• Local production will cut import duties and shipping expenses, giving better value for investment.
• Customizable offerings by Indian manufacturers will create solutions tailored to any space, from luxury homes to large public installations.
• Shorter shipping routes along with energy efficient LED displays will help support sustainability and environmental goals.

Global Perception & Export Opportunities

The global market is starting to see India as a credible exporter of LED displays. India will be more than just an alternative to China due to its competitive pricing, strong engineering capabilities and increasing production capacity. For certain markets, India is becoming the preferred sourcing option rather than a secondary choice.

Challenges and the Road Ahead

India continues to depend on imports for vital components such as semiconductors and driver ICs, and this remains a challenge. It is also not easy to scale up to China’s decades of technological advancement in terms of research and development. To make the most of this opportunity, India must keep investing in innovation, automation and global technology partnerships.

India is still approaching to become not just a participant but a global leader in LED display manufacturing.

Conclusion

The move from China+1 to Make-in-India proves as a major shift in supply chains. This move goes beyond the sourcing strategy and redefines global manufacturing landscape when it comes to LED display industry. Companies plan on reducing the risk in the long run by choosing to source from India and are also confident that this will lead to a long-term vision of quality, sustainability and resilience.

With government support, rising domestic demand and a robust manufacturing base, India is set to become a global hub for LED display production in the coming decade.

Xtreme Media, India’s only fully automated Active LED display manufacturer, is proud to lead this transformation by providing world-class LED display solutions for both domestic and global markets.