Overview:

India’s electronics sector has expanded rapidly, but much of the growth has been driven by final assembly rather than deep manufacturing. To strengthen supply-chain resilience and build a more competitive ecosystem, the government has introduced the Electronics Component Manufacturing Scheme (ECMS). This report seeks to go into details on how the scheme will focus from assembling finished goods to producing key components domestically, supported by incentives that reward both investment and sales. It also explains how it may broaden the supplier base and encourage technology transfer, and deepen local value addition, reduce import dependence, and lay the groundwork for a more self-reliant, export-ready electronics industry.

Table of Contents:

• Why India needs an incentive scheme for components?

• Why India needs an incentive scheme for components?

• How ECMS fares in comparison to the previous schemes?

• Key Issues & Drivers

• What does ECMS mean for India’s ESDM journey?

• What are the policy’s long-term implications?

Number of Pages: 5

Published Date: November 2025