The government has approved 31 new investment proposals for the Electronics Component Manufacturing Scheme (ECMS), bringing total approved investments to ₹7,877 crore. According to The Times of India, these latest approvals announced on Monday, August 17 have pushed total ECMS investments to ₹69,548 crore, significantly exceeding the scheme's original investment target of ₹59,350 crore. The approved projects are expected to generate ₹82,243 crore in production and create nearly 10,000 direct jobs across 10 states. Among the latest approvals, Wipro Global Engineering received ₹1,033 crore for copper-clad laminates, while Micromax Precision Moulding was approved for ₹565 crore. Other significant approvals include PCBL Chemical (₹329 crore), Minda Instrument (₹270 crore), VVDN Technologies (₹100 crore), Mitsubishi Electric (₹99 crore), Centum Electronics (₹52 crore and ₹54 crore), and Syrma SGS (₹60 crore). The new set of approvals covers various products including capital goods, camera and display modules, anode materials, enclosures, connectors, transducers, rare-earth permanent magnets, acetylene black, optical transceivers, speakers and microphones, relays, hermetic terminals, electrolyte additives, antennas, metallised films for capacitors, coils, filters, capacitors, metal shielding covers, and enhanced investment in copper-clad laminates. The Times of India reports that Jyoti CNC Automation received around ₹1,021 crore for capital goods, PCBL Chemical secured ₹329 crore for acetylene black, Acutaas Chemical got ₹119 crore for electrolyte additives, Syrma SGS Technology received ₹60 crore for coils, and Centum Electronics was approved for ₹54 crore for transducers.
According to S Krishnan, secretary of the Ministry of Electronics and IT (MeitY), several major electronics component facilities are set to become operational in the coming months. Kaynes Circuits' printed circuit board (PCB) plant near Chennai will be operational in the next month or so, while Dixon's facility for display and camera modules is expected to be operational in the next 4 months in Noida. Motherson's enclosure plant in Kanchipuram is likely to be operational in the next 2 to 3 months, and Wipro Global's copper-clad laminate (CCL) plant will start operating in the next 2-3 months. Additionally, USAM's enclosure plant will become operational in the next 6 months, with Secure Circuits' PCB plant likely to be operational in the next 6 months. As per The Times of India, facilities being set up by Kaynes Technology, Dixon Technologies, Wipro and Motherson are expected to begin operations over the next few months, with Krishnan noting that work had started on several approved projects, with some facilities now nearing the production stage. Several projects approved under the ECMS are already under construction or moving towards commercial production, including lithium-ion cell units at Rewari and Sona, Tata Electronics' enclosure plant in Hosur, Kaynes' PCB plant near Chennai, Dixon Technologies' display and camera module facility in Noida, Motherson's enclosure plant in Kanchipuram, Wipro's laminate plant and Yujan Technologies' enclosure facility in Kanchipuram.
The approved projects cover a wider range of categories, including capital goods, modules for cameras and displays, anode material, rare earth permanent magnets, acetylene black, optical transceivers, speakers and microphones, relays, hermetic terminals, electrolyte additives, antennae, metallised films for capacitors, coils, filters, capacitors, and enhanced investment in copper-clad laminates (CCLs). Notably, Wipro Global, whose application for CCLs was approved previously, has increased its investment commitment by an additional ₹1,033 crore, taking its total investment to ₹1,533 crore, demonstrating continued confidence in the scheme's potential. The government has now cleared 106 applications covering 30 product categories across 15 states, with India having surpassed the original investment target of ₹59,350 crore with total commitments of ₹69,548 crore. The IT Secretary noted that expected production from these projects has reached ₹5,34,101 crore, against the original target of ₹4,56,500 crore. As per The Times of India, the ECMS was notified in April 2025 with an incentive outlay of ₹22,919 crore, but the government later raised the allocation to ₹40,000 crore after the scheme received strong interest from Indian and global manufacturers. The approvals are part of a ₹40,000-crore Electronics Components Manufacturing Scheme (ECMS) that the ministry of electronics and IT (MeitY) notified in April last year, designed to increase the net share of high-margin domestic income generated by Indian companies in India's domestic electronics industry, which produced goods worth over ₹13 trillion in FY26.
According to S Krishnan, these approvals are expected to result in total output of production of ₹82,243 crore, with employment of close to 10,000 persons. Electronics and Information Technology Minister Ashwini Vaishnaw confirmed that 106 companies have now been approved under the scheme, of which 38 projects have started production, and 16 are under construction. However, Vaishnaw expressed concerns about the industry's progress, stating he was "not satisfied" with the industry's response on local design capabilities and called for more work to build a "swadeshi supply chain". The minister also stressed the need for "Six Sigma manufacturing is an absolute must" and emphasized that Prime Minister Narendra Modi has also emphasised the need for quality. On talent development, Vaishnaw noted that "we have to make 10 times the effort" as finding the right talent is becoming a challenge. The Times of India reports that Krishnan emphasized that "The writing is literally on the wall in terms of the projects grounded, work commenced, and where production in the electronic sector is truly picking up." Vaishnaw added that further localization of electronics sub-components is what MeitY will seek to approve ECMS projects, stating that "Work must be done across the entire electronics supply chain, and every component of it, by evaluating bills of materials. The industry must pursue workshops to understand localization of minute sub-components, and see how much of the manufacturing can be brought to India."
The latest approvals come after the government raised its financial commitment to the ECMS in the Union Budget 2026-27. On February 1, Finance Minister Nirmala Sitharaman proposed increasing the scheme's outlay to ₹40,000 crore from the earlier ₹22,919 crore, citing investment commitments that had already exceeded the scheme's targets. The Union Cabinet approved the ECMS in March 2025 as part of the government's efforts to build a self-reliant electronics supply chain in India and attract domestic and global investments into the sector. The scheme provides incentives to manufacturers of sub-assemblies, components and capital equipment to help build manufacturing capabilities and achieve economies of scale, aimed at increasing domestic value addition, integrating Indian companies with global value chains and supporting production and employment. According to the Economic Survey 2025-26, electronics emerged as the country's third-largest and fastest-growing export category in 2024-25, rising from the seventh position in 2021-22, with electronics exports standing at $22.2 billion in the first half of FY26. India has set a target of building a $500 billion domestic electronics manufacturing ecosystem by 2030-31. Applications under categories that remain open will continue to be accepted until July 2027, according to Krishnan. The Times of India reports that these approvals underline a broader shift in India's electronics manufacturing strategy, from assembling finished products to manufacturing modules, sub-modules and critical components domestically.
