New Delhi, India — April 28, 2025 — In a strategic move to bolster India’s electronics manufacturing ecosystem, Dixon Technologies announced its entry into the electronics components manufacturing space. The company plans to first cater to its internal (captive) demand before scaling up to export markets, according to a PTI report.
Meanwhile, Tata Electronics is reportedly gearing up to invest a significant Rs 2,000 crore under the government’s newly launched Electronics Component Manufacturing Scheme (ECMS), part of a larger Rs 23,000 crore incentive plan to boost domestic production.
Dixon Technologies Targets Next Phase of Growth
Speaking about the new developments, Atul Lal, CEO of Dixon Technologies, highlighted that venturing into electronics components is the “next phase of growth” for the company.
“We have already rolled out a project for display modules. We are evaluating various other component categories like camera modules, mechanical enclosures, and also lithium-ion batteries. We are seriously evaluating and will be deeply participating in ECMS,” said Lal, during a media interaction.
By manufacturing key components domestically, Dixon aims to reduce dependency on imports and strengthen India’s position in the global electronics supply chain.
Tata Electronics Bets Big on Components Manufacturing
In parallel, Tata Electronics is likely to invest Rs 2,000 crore towards setting up electronics component manufacturing facilities, according to sources cited by PTI. This investment is part of the Indian government’s aggressive push to enhance local value addition in electronics, under the ECMS initiative, which promises financial support to eligible companies to encourage large-scale manufacturing.
India’s electronics industry has been witnessing massive investments lately. According to a report by Invest India, the electronics market in India is expected to reach $400 billion by 2025, driven by strong domestic demand and government incentives. (Source)
ECMS: A Step Towards Self-Reliance
Launched earlier this year, the Electronics Component Manufacturing Scheme (ECMS) is aimed at making India self-reliant in critical electronics components such as semiconductors, display panels, camera modules, and lithium-ion battery parts.
The scheme offers:
- Financial incentives linked to incremental sales
- Capital support for setting up advanced manufacturing units
- Priority access to government tenders and supply chains
These measures align with India’s larger Make in India and Atmanirbhar Bharat initiatives, which seek to transform India into a global manufacturing powerhouse.
Industry Experts Applaud the Move
Industry analysts view Dixon’s and Tata’s new initiatives as timely. With global supply chains being redefined post-pandemic, companies that invest early in component manufacturing stand to gain a significant competitive edge.
“Companies like Dixon Technologies and Tata Electronics are setting the stage for India’s leadership in the electronics value chain. Domestic component manufacturing can cut costs, improve quality, and reduce dependence on volatile international markets,” said Rajeev Chandrasekhar, Minister of State for Electronics and IT, in a recent statement. (Source)
Conclusion
Dixon Technologies’ ambitious expansion into electronics component manufacturing, alongside Tata Electronics’ massive investment plans, marks a significant leap towards India’s goal of becoming a self-sufficient electronics hub. As government incentives roll out and private investments pour in, India is well-positioned to emerge as a global manufacturing destination in the coming years.
Last Updated on: Monday, April 28, 2025 9:40 pm by Gracy P | Published by: Gracy P on Monday, April 28, 2025 9:40 pm | News Categories: News
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