New Delhi: The Centre on Friday cleared a fresh tranche of 12 applications in different firms, worth over Rs 7,500 crore, under the electronics components manufacturing scheme (ECMS). The government also said that the latest round of approvals also covers projects related to materials and capital goods, widening the scheme’s reach across the electronics supply chain.
The scheme, however, seeks to build upstream manufacturing capabilities and reduce import dependence on critical components and materials used across sectors ranging from consumer electronics and telecom equipment to electric vehicles and industrial electronics. With the applications and commitments exceeding original expectations, the government has now enhanced the scheme’s budget to Rs 40,000 crore.
Speaking on the scheme’s progress in a press briefing, ministry of electronics and information technology (MeitY) secretary S Krishnan said that the Rs 7,503-crore tranche is expected to generate production worth more than Rs 39,000 crore and create over 7,200 jobs. Informing that the first cathode active material will be manufactured in the country, he also said that the recent approvals are aimed at deepening India’s electronics manufacturing value chain by boosting local production of critical raw materials and components.
“The newly approved projects will manufacture key upstream inputs including cathode active material (CAM), anode material, copper foil, polypropylene film and specialty ceramics. These materials are used across batteries, printed circuit boards, semiconductors and other electronic products, and are expected to reduce import dependence in critical segments of the electronics supply chain,” Krishnan said.
The secretary said the ECMS budget has now been enhanced to Rs 40,000 crore from its original outlay of over Rs 22,900 crore, reflecting the strong response from industry. “The scheme has already crossed its originally budgeted commitments and the government continues to evaluate new applications,” he added.
Krishnan, however, said that applications are being approved irrespective of the end-use sector, with the focus on strengthening manufacturing capabilities at the component and materials level. “The ECMS has so far received 118 applications covering 34 product categories across 16 states. Overall investment, production and employment commitments under the scheme have already surpassed the targets initially envisaged under ECMS,” he added.
In March 2025, the Union Cabinet approved an initial outlay of Rs 22,919 crore to promote domestic manufacturing of electronic components and sub-assemblies and strengthen India’s electronics supply chain. “This round of approvals adds to the momentum behind the scheme, which aims to build a domestic ecosystem for components and reduce India’s dependence on imports,” the secretary said.
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