India Approves $626M Projects to Boost Electronics Manufacturing

• India approved seven projects worth over ₹55 billion ($625 million)
• The projects, spread across Tamil Nadu, Andhra Pradesh, and Madhya Pradesh
• The move supports India’s PLI and Semiconductor Mission initiatives

To enhance local electronics manufacturing efforts, the Indian government approved the first batch of seven projects with a total worth of more than 55 billion rupees ($625.75 million).

The Ministry of Electronics and Information Technology added that the approvals consist of four specified Kaynes Circuits India projects to produce multi-layer and high-density printed circuit boards (PCBs), camera modules and laminates, and also SRI, Syrma Strategic Electronics, and Ascent Circuits had projects approved.

India’s electronics manufacturing sector is advancing through new ECMS projects focused on producing high-quality electronics components, supporting the Make in India initiative and driving tech manufacturing toward a self-reliant electronics ecosystem.

These projects fall under the broader effort by the Indian government to increase domestically produced electronics through incentive-driven initiatives like the Production-Linked Incentive (PLI) schemes and the India Semiconductor Mission.

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The approved projects will take place in Tamil Nadu, Andhra Pradesh, and Madhya Pradesh, with expectations for output of a total of 365.59B in electronic components, and will generate over 5,100 direct jobs.

The government is aiming to minimize the heap on imports, establish stable supply chains, and strengthen certain sectors such as Defence, Telecommunications, Electric Vehicles, and Renewable Energy by enabling bulk supply of critical parts.

Growing momentum in India's electronics industry is enhanced by multinationals like Apple and Google, which continue to act to incentivize and localize their supply chains away from China. With an emphasis on domestic production, and investment incentives, India is becoming a credible alternative manufacturing base in Asia.

Brokerage firm Motilal Oswal estimates that India's electronics manufacturing market will grow from 1.46 trillion rupees in fiscal year 2022 to 6 trillion rupees by 2027, demonstrating the sector's phenomenal growth and significance to the economy.