For the last decade, India’s electronics story has been dominated by a single, somewhat stinging criticism: “It’s just assembly.” We import the screens, the chips, and the connectors, screw them together in Noida or Chennai, and slap a “Made in India” sticker on the box.
That narrative just hit a major turning point.
On Sunday, the Ministry of Electronics and IT (MeitY) cleared 17 new manufacturing proposals worth ₹7,712 crore under the Electronics Component Manufacturing Scheme (ECMS). Unlike the headline-grabbing smartphone PLIs of the past, this tranche isn’t about the finished device you hold in your hand. It’s about the invisible, unglamorous, and highly profitable “guts” inside it.
This isn’t just another government announcement, it’s a signal that India is finally attempting to fix the biggest vulnerability in its tech supply chain.
Who Got the Green Light?
The newly approved list of 17 companies reads like a roll call of backend manufacturing heavyweights. These aren’t the brands you see on billboards, but they are the ones that keep the lights on for Apple, Samsung, and Tata Electronics.
- Aequs Consumer Products is the big winner, committing ₹1,500 crore to build mechanical enclosures the physical skeletons of our devices.
- Jabil Circuit (₹957 crore) and TE Connectivity (₹612 crore) are setting up shop to manufacture complex circuit assemblies and connectors.
- The Auto Angle: Companies like Syrma Mobility (₹250 crore) and Uno Minda (₹264 crore) are pivoting to automotive electronics, likely betting big on the EV transition.
Why this matters: Currently, India captures only about 10-15% of the value of a smartphone because we mostly do final assembly. By moving into components PCBs, sensors, and modules that value capture can jump to 40%. That is the difference between being a warehouse for the world and being a factory for the world.
The J&K To Become Part of Indian Tech Suply Chain
Perhaps the most fascinating detail buried in the approvals is a geographic one. Meena Electrotech secured approval for a ₹111 crore project in Jammu & Kashmir.
This is the first time the region has secured a major PLI-linked tech investment. But look closer at what they are making: industrial electromagnets, clutches, and brakes. This isn’t flashy consumer tech; it’s heavy industrial component manufacturing. It suggests that the government’s push to decentralize tech hubs moving them away from choked cities like Bengaluru and Gurgaon might actually be working.
Is India Ready to Become A China Plus One?
Let’s be real: ₹7,712 crore is a drop in the bucket compared to China’s annual electronics output. But in the context of the “China Plus One” strategy, it is a critical foothold.
Global supply chains are fragile. We learned that during the pandemic. By building a domestic ecosystem for the “boring stuff” the connectors, the films, the PCBs India is buying itself insurance. If a geopolitical spat shuts down a shipping lane in the South China Sea, Indian assembly lines won’t necessarily have to go dark.
IT Secretary S. Krishnan put it simply: “The world is looking at diversification, and India is a key player in that.” For the first time, that statement feels like it has some silicon-backed weight behind it. Having said that, we still have long road ahead and become self-reiant first before we can claim to be ready to become China Plus One ready.
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