MeitY clears 22 electronics PLI projects worth ₹41,863 crore, eyes supply chain self-reliance

India’s push to deepen its electronics manufacturing ecosystem received a major boost on Friday as the Ministry of Electronics and Information Technology (MeitY) approved 22 new proposals under the Electronics Components Manufacturing Scheme (ECMS), involving projected investments of ₹41,863 crore and estimated production output of ₹2.58 lakh crore.

The approved projects are expected to generate nearly 37,000 jobs, including 33,791 direct employment opportunities, the ministry said. The clearances mark the third tranche of approvals under the electronics component production-linked incentive (PLI) framework, which aims to reduce import dependence and build domestic capabilities across critical electronic components.

Among the prominent beneficiaries are Dixon Technologies, Samsung Display Noida Pvt Ltd, Foxconn’s Yuzhan Technology India Pvt Ltd, Tata Electronics, Motherson Electronics Components and Hindalco Industries. Union IT Minister Ashwini Vaishnaw handed over approval letters to the companies on December 2.

Dixon, Foxconn make key moves 

Dixon Technologies secured approval for two projects in the latest tranche. One of them — Kunshan Q Tech Microelectronics in Uttar Pradesh — is a joint venture in which Dixon holds a 51% stake, while the remaining stake is owned by a Singapore-based subsidiary of a Chinese firm. The second project, Dixon Electroconnect’s optical transceiver unit, will be set up in Madhya Pradesh.

Foxconn’s inclusion is particularly significant as it marks the Taiwanese electronics major’s first foray into India’s electronics components ecosystem, beyond its well-known role in device assembly. Industry watchers see this as a step towards anchoring higher-value manufacturing within the country.

Focus on components, not just assembly 

The latest approvals cover manufacturing across 11 target product segments spanning mobile phones, telecom equipment, consumer electronics, automotive electronics, IT hardware and strategic electronics.

Of these, five segments involve bare components such as printed circuit boards (PCBs), capacitors, connectors, enclosures and lithium-ion cells. Three segments focus on sub-assemblies including camera modules, display modules and optical transceivers, while the remaining three cover supply chain inputs such as aluminium extrusion, anode material and laminates.

MeitY said the projects are aimed at building a robust domestic value chain for key electronic components — areas where India has traditionally relied heavily on imports, particularly from East Asia.

Pan-India manufacturing footprint 

The projects will be set up across eight states — Andhra Pradesh, Haryana, Karnataka, Madhya Pradesh, Maharashtra, Tamil Nadu, Uttar Pradesh and Rajasthan — highlighting the government’s intent to ensure geographically balanced growth in electronics manufacturing.

The third tranche adds to 24 applications approved earlier under the scheme, which together involved investments of ₹12,704 crore. With the latest approvals, the cumulative investment pipeline under the electronics component push has expanded sharply.

Beyond import substitution, the government is also positioning the ECMS as an export-oriented manufacturing initiative. The ministry said the scheme places strong emphasis on enhancing India’s export competitiveness in electronic components, a segment that accounts for a significant share of global electronics trade.