Starting April 1, Chinese video surveillance giants Hikvision and Dahua will be effectible barred from selling internet-connected CCTV cameras in India. According to a report by The Economic Times, the government has now refused to certify products made in China or those using Chinese chipsets under the new Standardisation Testing and Quality Certification (STQC) rules. The industry executives believe that this decision will shut Chinese brands out of the fast-growing Indian CCTV market, where they previously held nearly one-third of the sales.The vacuum left by the Chinese companies has been quickly filled by domestic brands such as CP Plus, Qubo, Prama, Matrix, and Sparsh, which have shifted supply chains to Taiwanese chipsets and localized firmware. As of February, Indian companies control over 80% of the market, according to Counterpoint Research. CP Plus alone now commands 45–50% market share, up from 20–25% before the regulations.

The increasing global competition

While Indian brands dominate the mainstream market, Bosch and Honeywell have captured the high-end segment. Smaller traders and smartphone brands like Xiaomi and Realme, which once sold smart home cameras, have exited the category after failing to secure certification.The ET report further adds that Hikvision, once the market leader, was denied certification for a massive factory capable of producing two million cameras per month. To survive, it has had to explore joint ventures with Indian partners. Dahua, meanwhile, has seen its business contract by 80%, now limited to selling analog cameras that are rapidly becoming obsolete.

Price pressure faced by the brands

The shift away from Chinese suppliers has increased costs. Analysts estimate a 15–20% rise in bill of materials (BoM), especially in mid- and high-end models where Taiwanese and U.S. chipsets are significantly more expensive than Chinese alternatives. While prices at the lower end have remained stable due to localized production, the premium segment has seen sharp increases.

What it means for India

The ban marks a strategic win for Indian manufacturers, who now dominate a market once controlled by Chinese brands. It also aligns with India’s broader push for digital security and supply chain independence. However, higher costs could challenge affordability, especially for businesses and institutions upgrading to certified systems.