Ban imposed on these two Chinese companies, their power banks are sold the most in India

The crackdown on Chinese companies in India started with Corona in the year 2020, which is still ongoing. Now the Government of India has taken action against two such Chinese companies whose power banks are sold the most in India. The Indian government has taken strict action against two major companies importing lithium batteries and is investigating a third company. This step has been taken in response to the increasing sales of poor-quality power banks imported from China.

Many power banks imported from China provide only 50-60% of the claimed capacity. Indian companies buy these low-quality batteries at cheap prices and sell cheap products in the market. This not only affects healthy competition in the market but also misleads customers on safety and performance.

The Bureau of Indian Standards earlier this month withdrew the registration of two Chinese suppliers of batteries - Guangdong Cvasun New Energy Technology and Ganzhou Novel Battery Technology, which supplied together over 50% of the lithium batteries to India. A third, Ganzhou Taoyuan New Energy, remains under investigation.

Spot checks by government officials revealed that most power banks were not able to provide their advertised capacity. For example, some powerbanks that were advertised as 10,000mAh actually contained a battery of only 4,000-5,000mAh. These companies sent a limited number of samples of good powerbanks to get approval from BIS.

These companies, after having received approval, had also started selling batteries of meager battery capacity and quality to Indian brands. Therein, such substandard batteries achieved cost reductions of as much as 25% while making people buy inferior products.