India Approves 31 Electronics Projects to Boost Local Manufacturing

The government has approved 31 electronics component manufacturing projects with investments of ₹7,877 crore, targeting critical components, stronger domestic supply chains, job creation and reduced import dependence.

The Indian government has approved 31 projects under the Electronics Components Manufacturing Scheme (ECMS) as part of its efforts to strengthen domestic electronics production and reduce dependence on imported components. The projects involve a combined investment of around ₹7,877 crore and will be implemented across multiple states.

The latest approvals are aimed at developing manufacturing capabilities for critical electronic components and raw materials, supporting India's transition from an assembly-focused electronics industry towards a more integrated domestic supply chain.

According to the Ministry of Electronics and Information Technology (MeitY), the newly approved projects are expected to create around 9,588 direct jobs across 10 states. The investments will add manufacturing capacity in areas considered important for strengthening India's electronics ecosystem.

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The approvals come as India seeks to deepen its capabilities across the electronics value chain. While the country has emerged as a major manufacturing base for smartphones and other electronic products, a significant share of components and specialised inputs continues to be sourced from overseas.

The ECMS is intended to address this gap by encouraging companies to establish domestic production facilities for components that are essential to electronics manufacturing. The scheme is also expected to support local suppliers and create opportunities for small and medium-sized manufacturers to participate in broader supply chains.

With the latest round, the total approved ECMS investment has reached ₹69,548 crore, covering 106 projects. The government said the approved projects are expected to generate around 75,000 direct jobs and contribute to the creation of a deeper domestic component ecosystem.

The initiative also includes projects focused on manufacturing components and raw materials that India has historically imported. Building these capabilities locally could improve supply-chain resilience and reduce exposure to disruptions in international markets.

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The development comes alongside India's wider push to strengthen its semiconductor and electronics manufacturing ecosystem. Several semiconductor projects are also progressing, with five to six projects expected to enter commercial production by the end of 2026, according to MeitY.

The growing manufacturing base could also help Indian companies integrate more closely with global electronics supply chains. Domestic availability of components can reduce lead times, improve supply security and potentially increase the competitiveness of products manufactured in India.

The approval of the 31 projects therefore represents another step in India's effort to move beyond electronics assembly and build local capabilities in components, materials and advanced manufacturing. The government expects the investments to support employment, attract further private-sector participation and strengthen India's position in the global electronics manufacturing landscape.