Exposing misleading claims and unfair competition, India is cracking down on low-quality Chinese power banks, as imports underperform with 50-60% less capacity than advertised.
The Indian government has recently taken action against the rising sales of low-quality Chinese power banks, which mislead consumers about safety and performance. After penalising two companies in November, a third company is being reportedly investigated.
According to a report by the Economic Times, these power banks have actual capacities 50-60% lower than advertised, causing them to underperform, such as failing to charge a phone more than once.
Indian businesses are purchasing these low-quality batteries at reduced prices from Chinese suppliers, allowing them to sell cheaper products and gain an unfair advantage in the market. This not only distorts healthy competition but also misleads consumers about the safety and performance of the products.
Earlier, the Bureau of Indian Standards (BIS) cancelled the registrations of two Chinese battery suppliers—Guangdong Cvasun New Energy Technology and Ganzhou Novel Battery Technology.
These companies supplied over half of the lithium cells used in India. According to industry sources, a third supplier, Ganzhou TaoYuan New Energy, is under investigation.
The government crackdown followed random tests conducted by authorities, which revealed that many power banks did not meet their advertised capacities. For instance, some power banks that claimed to offer 10,000 milliampere-hours (mAh) only had 4000 to 5000 mAh, far below what was promised.
These companies had been sending a limited number of high-quality samples to the BIS to secure approval, allowing them to market their products as 10,000 mAh. However, they used these approvals to sell inferior batteries to brands in India. The price difference could be as much as 25%, meaning consumers unknowingly paid for subpar products.
The lower import prices of these batteries have driven down the cost of power banks sold by lesser-known brands in India. While a high-quality 10,000 mAh power bank from well-established brands can cost over Rs 1000, many cheaper alternatives are available for under Rs 600, raising concerns about their true performance and reliability.