IKEA will more than double its investment in India to more than ₹20,000 crore in the next five years to open more stores and increase sourcing locally.
The Swedish furniture maker, which opened its first India store in Hyderabad in 2018, will begin accepting online orders in four other cities where it currently does not have a physical presence, including Chennai and Coimbatore.
“(India) is not a large IKEA country yet…but the belief in India is very strong that it will be one of our top markets,” said IKEA India’s Chief Executive Officer Patrik Antoni told Reuters.
IKEA’s India sales rose 6% to ₹1,861 crore in the year ended August 2025, and Antoni said it plans to quadruple it, including by expanding store count to 30. The company plans to start online operations before opening a physical store in new cities—a first for IKEA globally—as young consumers shop online more to beat traffic. IKEA will also double production for domestic stores and exports to €800 million, Antoni said.
IKEA’s move to double down on India comes as global brands ramp up export production in India to cut costs, while consumer majors from shoemaker Asics to carmaker VinFast Auto also step up sourcing to meet domestic demand.
US President Donald Trump doubled tariffs on imports from India to as much as 50% last year on some goods, forcing many industries to find new clients in other countries. Antoni, however, said that it has not affected IKEA’s Indian suppliers much, as the brand, which has most of its stores in Europe, ships more to other markets.