India Advances Electronics Manufacturing with INR 418.63 Billion Investment in New ECMS Approvals

In a significant boost to India’s electronics manufacturing landscape, the Ministry of Electronics and Information Technology (MeitY) has approved 22 new proposals under the third tranche of the Electronics Component Manufacturing Scheme (ECMS). The latest approvals are projected to attract investments of INR 418.63 billion and are expected to generate 33,791 direct jobs across the country.

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The expanded tranche builds on earlier approvals worth INR 127.04 billion, taking the total sanctioned under the ECMS to 46 proposals with a combined investment of INR 545.67 billion. These initiatives are projected to catalyze INR 2.58 trillion in production value and support manufacturing capacity across key electronic segments.

Targeted technology and supply chain expansion

The approved proposals span 11 targeted product categories with cross-sectoral applications — including consumer electronics, IT hardware, automotive, strategic electronics, mobile and telecom devices. The categories encompass:

• Bare components: PCBs (including HDIs), capacitors, connectors, enclosures, and Li-ion cells
• Sub-assemblies: Camera modules, display modules, optical transceivers
• Supply chain inputs: Aluminum extrusion, anode material and laminate (copper clad)

Third tranche approvals: List of companies

A. Bare components category 

PCBs (including HDIs) — 9 applicants

• India Circuits Private Limited

• Vital Electronics Private Limited

• Signum Electronics Limited

• Epitome Components Private Limited

• BPL Limited

• AT & S India Private Limited

• Ascent-K Circuit Private Ltd

• CIPSA TEC India Pvt Ltd

• Shogini Technoarts Pvt Ltd

Capacitors

• Deki Electronics Limited

• TDK India Private Limited — major global manufacturer of electronic components and systems

High-Speed Connectors

• Amphenol High Speed Technology India Private Limited

Enclosures (Mobile, IT Hardware & Related Devices)

• Yuzhan Technology (India) Private Limited — global manufacturer of electronic components

• Motherson Electronic Components Private Limited — leading Indian manufacturer of components and systems

• Tata Electronics Private Limited — leading Indian electronics manufacturer & trusted global brand

Li-ion Cells for Digital Applications

• ATLbattery Technology (India) Private Limited — leading global player in Li-ion cell manufacturing

B. Sub-assembly category 

• Dixon Electroconnect Private Limited — Optical Transceiver (SFP)

• Kunshan Q Tech Microelectronics (India) Private Limited — Camera Module Sub-Assembly

• Samsung Display Noida Private Limited — Display Module Sub-Assembly

C. Supply chain deepening — materials & inputs

• NPSPL Advanced Materials Private Limited — Anode material for lithium-ion cells

  • critical for energy density & lifecycle performance

• Wipro Global Engineering and Electronic Materials Private Limited — Laminate (Copper Clad)

  • base material for PCB manufacturing

  • accounts for ~30 percent of PCB bill of materials

• Hindalco Industries Limited — Aluminium Extrusions for mobile phone enclosures

  • currently 100 percent imported, localization reduces import dependence

Geographic spread and skill creation

The newly approved projects are spread across eight states — including Andhra Pradesh, Haryana, Karnataka, Maharashtra, Tamil Nadu, Uttar Pradesh, Rajasthan, and Madhya Pradesh — reflecting the government’s emphasis on balanced regional development in high-technology manufacturing.

Policy impact and global positioning

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Union Minister for Electronics & IT, Shri Ashwini Vaishnaw, emphasized that the ECMS is strengthening domestic capabilities and reducing reliance on imports for critical electronic components. He highlighted India’s demographic advantage and long-term growth trajectory, positioning the country as a compelling global destination for electronics manufacturing.

Minister of State Shri Jitin Prasada added that India’s growing role in the global supply chain provides resilience amid geopolitical uncertainties, enhancing its appeal to global investors. MeitY Secretary Shri S. Krishnan described the approvals as instrumental in deepening the domestic electronics ecosystem and achieving the strategic goals of the ECMS.

Why the ECMS approvals matter for investors and OEM supply chains

The ECMS Program is aligned with the Government of India’s vision of transforming the country into a global hub for electronics manufacturing and value-chain development. The scheme’s cross-application manufacturing base strengthens India’s competitiveness not only in mobile devices, but also:

• EV components
• telecom equipment
• industrial automation
• power electronics
• defense-adjacent electronics

This makes ECMS approvals strategically broader than PLI-linked production incentives.

The third-tranche ECMS approvals signal a policy pivot from assembly-led growth to component-deep manufacturing. Recent investment approvals indicate that India is:

• shifting value-addition upstream
• reducing import dependence on China, Vietnam, and Taiwan
• strengthening resilience across electronics BOM cost drivers

Cluster competitiveness — what investors should read from the geography spread

While approvals are spread across 11 states, three manufacturing corridors are emerging as core electronics ecosystems:

Southern manufacturing belt

(Tamil Nadu, Karnataka, Andhra Pradesh)

• strong vendor ecosystem depth
• skilled electronics workforce availability
• port logistics advantage
• proximity to OEM anchor investors

This corridor is likely to attract:

• upstream PCB and sub-assembly investments
• capacity expansion by contract manufacturers
• supply chain consolidation around EMS players

Western industrial base

(Maharashtra, Gujarat, Goa)

• suited for materials, metals, enclosures, precision engineering
• strong process manufacturing capabilities
• access to export logistics via western ports

Likely opportunity areas:

• aluminum extrusion for casings
• capacitor & passive component production
• copper and laminate processing

North India growth zone

(Uttar Pradesh, Haryana, Rajasthan, J&K)

• deeper integration with mobile manufacturing in Noida & NCR
• increasing localization of display & optical components
• strong policy push for job-linked investments

Watch for:

• scale-driven EMS consolidation
• regional vendor-onboarding programs
• workforce skilling initiatives

Strategic opportunity lens — who benefits most?

Tier-1 EMS & contract manufacturers

Near-term gains:

• reduced dependency on imported PCB & display components
• shorter supply chain lead times
• improved cost competitiveness

Longer-term advantages:

• ability to offer higher domestic value-addition to OEMs
• stronger qualification positioning for future PLI rounds

Raw material & industrial supplier ecosystem

The ECMS approvals open opportunities in:

• epoxy resin & laminate chemicals
• precision stamping & extrusion dies
• copper & aluminum processing
• clean-room and automation solutions

These are indirect beneficiaries of ECMS investments.

Automotive & EV electronics manufacturers

Capacitors, connectors, and Li-ion component approvals indicate:

• increasing convergence between electronics & automotive supply chains
• faster localization of EV electronics components
• lower BOM pricing volatility risk

This strengthens India’s ability to:

• scale EV part exports
• transition from CKD to localized production ecosystems

Headwinds & operational considerations investors should account for

While the scheme strengthens upstream capacity, businesses should monitor three execution risks as indicated in the below table.

Companies entering India’s component manufacturing space should plan for:

• long ramp-up timelines
• certification and reliability validation cycles
• co-development engagement with anchor customers

Advisory outlook — What firms should consider doing now

Recommended executive actions

• Map ECMS-approved firms into supplier-identification pipelines
• Evaluate Make-in-India value-addition scoring for RFPs
• Begin vendor co-development programs with approved units
• Assess opportunities for:
  • backward integration
  • capacity-sharing partnerships
  • brownfield co-location near EMS hubs

Opportunities for foreign investors

Consider strategic entry routes:

• JV partnerships with ECMS-approved firms
• technology-licensing agreements
• component specialization investments
• material supply partnerships

Segments showing the strongest medium-term scaling prospects:

• PCBs & HDI boards
• camera & display modules
• passive components
• telecom-grade optical parts

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