Centre Approves 1,012 Crore Electronics Clusters in Tamil Nadu
Synopsis: The Centre approves two Electronics Manufacturing Clusters (EMCs) in Tamil Nadu with a combined investment of ₹1,012 crore at Manallur and Pillapaikkam, strengthening the state's electronics ecosystem and supporting India's semiconductor and electronics manufacturing ambitions.
The Central Government has approved the establishment of two Electronics Manufacturing Clusters (EMCs) in Tamil Nadu with a combined investment of ₹1,012 crore, further strengthening the state's position as a key electronics manufacturing hub. The announcement was made by Union Minister for Electronics and Information Technology Ashwini Vaishnaw in a written reply in the Lok Sabha.
The two clusters will be developed at Manallur and Pillapaikkam. The Manallur EMC will span 474.3 acres with an investment of ₹587.47 crore, while the Pillapaikkam cluster will cover 379.3 acres at a cost of ₹424.55 crore. Together, the projects aim to create advanced manufacturing infrastructure, attract investments, and strengthen the electronics supply chain in Tamil Nadu.
Also Read: Indian Startup Unveils Indigenous Turbofan Engine Program
The approval aligns with the Centre's efforts to expand India's electronics manufacturing sector through initiatives such as the Production Linked Incentive (PLI) scheme and the Semicon India Programme. According to the government, India's electronics production has increased from nearly ₹1.9 lakh crore in 2014-15 to approximately ₹13.11 lakh crore in 2025-26, while electronics exports have grown from ₹38,000 crore to ₹4.24 lakh crore over the same period. Mobile phone manufacturing has also expanded significantly, with India now producing nearly all handsets sold in the domestic market.
Tamil Nadu has emerged as a major electronics manufacturing destination with production facilities across Chennai, Kancheepuram, Chengalpattu, Tiruvallur, Krishnagiri, and Coimbatore. The new clusters are expected to further strengthen the state's industrial ecosystem by providing infrastructure for electronics manufacturers, component suppliers, and related industries while generating employment opportunities.
Also Read: President Murmu Deepens India-North Macedonia Ties
The government also highlighted progress under the Semicon India Programme, under which 12 semiconductor projects worth around ₹1.64 lakh crore have been approved across six states, with three already commencing commercial production. In addition, the Design Linked Incentive (DLI) Scheme is supporting semiconductor design companies, startups, and MSMEs, including several in Tamil Nadu.
The approval of the two Electronics Manufacturing Clusters is expected to enhance domestic electronics production, attract fresh investments, strengthen semiconductor capabilities, and reinforce India's competitiveness in the global electronics manufacturing value chain.
