The Taiwanese firm, which currently has a share of about two percent in the Indian smartphone market, aims to expand it to five percent by next year.
"India offers a huge opportunity, smartphone penetration is just about 10 percent. We are focusing on getting the entire supply chain right here and not just assembly. Once the supply chain is there, manufacturing will become easier here," Asus chairman Jonney Shih said.
The firm is keen on manufacturing in India, he added.
"We have set up an internal team to look into this. Before the end of the year, we should have something to announce," Asus India Regional Head (South Asia and Country Manager) Peter Chang said.
He added that the company is in discussions with its manufacturing partners for the project.
Asus is among the growing list of global smartphone makers, including Xiaomi, Motorola and Gionee, that are considering manufacturing in India, where the government is pushing its 'Make in India' initiative.
India is one the fastest growing smartphone markets globally.
According to research firm CMR, 19.5 million smartphones were shipped in India in the March 2015 quarter.
"India is growing really strong for us. This market provides a lot of inspiration and gives us inputs for development of new products... We are looking at getting into the top four position in the next one year from the last quarter of this year (October-December)," Shih said.
He added: "If that happens, India will contribute 10-15 percent of our global revenues."
The company today launched a slew of handsets under its Zenfone 2 series, priced between Rs 9,999 and Rs 22,999. It also launched three versions of its tablet, ZenPad.
It has launched Intel Atom processor-based Zenfone 2 Deluxe with a crystal designed back, a selfie phone featuring 13 MP front camera, Zenfone 2 Laser with fast image adjustment feature and a new accessory Lolliflash, among other products.