Who are some competent hardware design engineers in India that have
expertise in building PC-based USB hardware with corresponding Windows
drivers?  We are looking to have a relatively simple USB device
designed and cost-engineered in India and are looking for
some potential vendors.  We would like to see 5-15 competent and
experienced vendors who can execute the work at a low price. 
Furthermore, experience with infrared (IR)
transmission with consumer electronics devices and remote controls is
a plus but not a requirement.

Hello -

If you require any additional information or clarification, please ask
before rating this answer.  Thank you for your understanding.


Here are some custom engineering companies that fit your criteria of
having experience in engineering with the USB standard:

VinChip Systems
http://www.vinchip.com/design.htm

VLSI India
http://www.vlsi-india.com

Control Net India
http://www.controlnetindia.com/clientproj_temp.php?pid=23

Spec Soft
http://www.specsoftus.com/AsicCenter.htm

WiPro (outsources to India and other places)
http://www.wipro.com/aboutus/odc/



This company does not cite USB-specific experience:

http://www.velankani.com/


This American company has competitive rates and can provide off-shore
manufacturing; although they haven't worked with India specifically,
they may be able to:

CWAV
http://www.cwav.com/services4.htm


Hundreds more potential vendors:

http://www.angelfire.com/electronic/in/vlsi/com.html

Although they might not explicitly state their experience with USB on
their websites, some might be able to accommodate you.



Search Strategy:
peripheral manufacture india
india +we design USB
  
Additional Link:
Should you seek alternative locations to India, see www.mfgquote.com,
an excellent resource for connecting buyers and global, custom
manufacturers.

You could try http://www.ncoretech.com.. they are manufacturing
Simputer (low Priced PDA), so they might be able to help you out.. :)