India's electronics and semiconductor manufacturing industry includes designing, assembling, testing, and fabricating electronic goods, components, and integrated circuits. Domestic semiconductor fabrication was effectively absent for years after the state-owned semiconductor facility at Mohali, operated by Semiconductor Complex Limited, was crippled by fire in February 1989. Following the incident, the facility did not restart production until eight years later, in 1997.
Under the India Semiconductor Mission (ISM), which carried an outlay of , the government claimed to have approved 12 manufacturing units with committed investment of ~. Of these 12, three—Micron, Kaynes Semicon, and CG Semi—have begun commercial production. The Union Cabinet approved a successor programme, Semicon 2.0, in July 2026 with a total budget outlay of .
In September 2026, at the Semicon India conference in New Delhi, U.S. based LAM Research announced an investment of ₹10,000 crore to establish India’s first semiconductor component manufacturing unit, positioning the country as an export hub for chipmaking equipment and parts.
At the same event, Prime Minister Narendra Modi inaugurated new semiconductor packaging facilities in Surat, Gujarat, and Mohali, Punjab.
India is the world's second-largest producer of mobile phones by volume. The Ministry of Electronics and Information Technology claimed that handset output grew from in 2014-15 to in 2025-26. Electronic merchandise is India's 3rd-largest export category, with exports of in 2025-26.
The industry's expansion has drawn sustained scrutiny. Economists and analysts, including former Reserve Bank of India governor Raghuram Rajan, have questioned how much value India adds, given that imported components make up over 80% of Indian-assembled electronics, and have debated the fiscal cost, protectionist policies, and design of the subsidies used to attract manufacturers.
Electronics industry Statistics and trends Market-size India's electronic sector, which ranks among the world's largest in terms of consumption, is expected to increase from $69.6 billion in 2012 to $400 billion by 2020. It was primarily driven by an increase in demand, which was expected to expand at a compound annual growth rate of over 25% during that time. Imports accounted for 65% of the demand for electrical products in 2013–14. A Frost & Sullivan-IESA data analysis indicates that 60% of total electronic usage can be attributed to five high priority product categories. These are, in descending order, desktop computers (4.39%), laptops (5.54%), mobile phones (38.85%), and flat panel display televisions (7.91%).
The consumer electronics and appliance industry in India, which was valued at $9.7 billion in 2014, is expected to increase at a compound annual growth rate of 13.4% to reach $20.6 billion by 2020. Set-top boxes are expected to increase at the quickest rate among consumer electronics, with Y-o-Y growth of 28.8% forecast between 2014 and 2020. Televisions will grow at the rate of 20%, refrigerators at 10%, washing machines at 8–9%, and air conditioners at roughly 6-7%. India's demand for IT devices was projected to be worth $13 billion in 2013. By 2029–2030, it is estimated that India's aerospace and defense (A&D) electronics sector might be valued up to $70 billion, of which $55 billion could come from electronics used in platforms that need to be purchased and the other $17–18 billion from system-of-system initiatives.
Domestic production In 2023, the total value of electronic goods produced domestically was $101 billion. India's electronics hardware manufacturing sector is expected to generate at least $278 billion in electronic goods by 2030. India produced 4% of the world's electronics gear in FY23. With 31% of the entire production of electronic goods in India in FY13, the communication and broadcasting equipment industry held a leading position, followed by consumer electronics at 23%. In the April–June quarter of 2015, 24.8% of the cellphones transported into the nation were either assembled or made in India, an increase from 19.9% the quarter before.
Out of the 220 million mobile sets that were shipped in India in 2015–16, 110 million of those units were either manufactured or assembled there in the past year, up from 60 million the year before. The value of mobile handset production increased by 185% in 2015–16, from ₹19,000 crores to ₹54,000 crores. Turning the Make in India initiative into a reality for the electronics and hardware sector was the title of an ASSOCHAM-EY research. It predicted that the Indian electronics and hardware industry will develop at a CAGR of 13%–16% in 2013–18, from a level of $75 billion in 2016 to $112–130 billion by 2018.
In May 2016, an NITI Aayog research stated that India's electronics sector contributes just 1.7% of GDP, but in Taiwan, South Korea, and China, it accounts for 15.5%, 15.1%, and 12.7% of GDP, respectively. India now makes up less than 5% of the global electronics manufacturing sector, with the majority of its electronics production going towards the country's own market.
In 2014, the percentage of localized input/value addition in televisions was approximately 25–30% due to the importation of panels, semiconductors, and glass required for the production of LCD/LED TVs. Due to the importation of the compressor, refrigerant, motor, and coil, the localization of air conditioners was only approximately 30% to 40%. About 35–40% of the parts used in set-top boxes came from within the country. For refrigerators and washing machines, the localized content was approximately 70%. It is stated that in 2016, the percentage of localized value addition created in mobile phone assembly in India was barely 2-8%.
The Ordnance Factory Board's Opto Electronics Factory (OLF), located in Dehradun, is a unique facility in India that produces opto-electronic goods for defense use Polymatech Electronics, located in Chennai, is another facility that produces Opto Semi-Conductor Chips. The Company signed MoU with Government of Tamil Nadu on 27 May 2020. The project was also acknowledged under SPECS program. Hon'ble Prime Minister of India has visited Polymatech Electronics at Semicon India 2023 Samsung, a leading Korean electronics company, intends to begin producing laptops at its Noida plant in India in 2024. Airport navigation aids are presently produced worldwide by Thales Reliance Defence Systems, a joint venture electronics company of Thales Group, while Bharat Electronics-Thales Systems, based in Bangalore, produces high-tech items like low-band receivers for the Dassault Rafale's electronic warfare suite. On 18 January 2024, Grupo Antolin inaugurated a new production plant in Chakan for electronics, Human-Machine Interface systems, and advanced lighting. In India, Grupo Antolin provides parts to Volkswagen, Škoda Auto, Suzuki, Toyota, Mahindra & Mahindra, and Tata Motors.
Lenovo intends to increase its manufacturing and is considering producing servers in India in order to benefit from the production-linked incentive (PLI) program for IT hardware. In 2024, Samsung Electronics intends to begin producing laptops at its Noida plant. Already, preparations are in motion. Intel showcased a comprehensive range of Made in India laptops and IT goods, including locally made servers, during the India Tech Ecosystem Summit 2024. By Q2 2024, Google has instructed vendors to begin producing Pixel smartphones in India. The production line for Google's high-end Pixel 8 Pro will be ready first. In India, Dixon Technologies is going to manufacture Google Pixel 8 smartphones. September 2024 will see the release of the first batch into the market. Monthly production of Pixel smartphones is expected to reach 100,000 devices, with 25–30% of those units going toward export.
Apple Inc. plans to begin producing AirPods in India from 2025. With Jabil in Pune, the business has begun producing wireless charging case parts on a trial basis. Parts of AirPods wireless charging cases are already being produced by Jabil and delivered to China and Vietnam.
Exports and imports India was a net importer of electronics as of 2016, with China accounting for the majority of India's imports. Electronics had surpassed gold in 2015 and ranked second in terms of value among all imports into the nation, right behind crude oil. India spent more money on semiconductor imports than on oil, according to research published in 2019 by Professor Vikram Kumar, an emeritus professor of physics at IIT Delhi. According to a Ministry of Commerce and Industry report, one of the six industries that could assist India in reaching over 70% of its target of $1 trillion in goods exports by FY30 is electronics.
As per Economic Survey 2026, electronics has grown from India's seventh largest export category in fiscal year 2022 to become second largest in FY2026. The country has already exported $22.2 billion of electronics by 29 January 2026 for FY2026. This was backed by the expansion was the mobile manufacturing segment which rose from in FY2015 to in FY2025.
Exports The estimated value of India's electronics exports in FY13 was $7.66 billion, down slightly from $8.15 billion in FY12; however, due to the depreciation of the rupee, they increased in INR terms during the same time, rising from ₹44,000 crore to ₹46,300 crore. India's electronics exports were dominated in 2013–14 by the telecom sector, which was followed by computing, consumer electronics, instruments, and electronic components. The increasing demand for Indian electronics items overseas is believed to be mostly driven by advancements in technology and competitive cost-effectiveness. Indian exports of electronic gear nearly doubled in value from ₹109,940 crores in 2009–10 to ₹196,103 crores in 2013–14, measured in rupees. India's electronics exports fell to $6 billion in FY14, accounting for 0.28% of the world's electronics trade.
India recorded a 22.24% growth in electronics exports, exceeding the $20 billion milestone within the nine months of the FY 2023-24. Between April and December 2023, mobile phone exports—which made up 52% of all electronics exports—reached $10.5 billion. Notably, the iPhone became the main export engine during this time, accounting for 35% of all electronics exports and an astounding 70% of all mobile exports from the nation. The value of iPhone exports topped $7 billion only in December 2023. the nearly seven-fold increase in mobile exports, which went from $1.6 billion in FY19 to $11.1 billion in FY23. In the same time frame, total electronics exports increased by almost three times, from $8.4 billion in FY19 to $23.6 billion in FY23.
During their results call for the December quarter in 2023, Indian companies such as Havells, Dixon Technologies, Voltas, and Blue Star stated that they are building a foundation for exports to industrialized nations such as the US and those in Europe. Havells intends to supply air conditioners in the US market after establishing a company there. About 28–30% of Motorola smartphone output is now sent to the US as Dixon Technologies increases its exports of the devices. Appliance retailer Arçelik, which markets appliances in Europe under the Beko name, has placed export orders with Voltas for frost-free refrigerators and dishwashers. India exported $29.12 billion worth of electronics in 2023–24, a 23.6 percent increase over the previous year. The United States, United Arab Emirates, Netherlands, United Kingdom, and Italy are the top five export markets for electronics goods. Exports also expanded into new markets in FY24, including Turkmenistan, Honduras, El Salvador, Mongolia, Montenegro, and the Cayman Islands. Limited amounts of semiconductor chips packaged at Tata Electronics' Bengaluru R&D Center are now being exported to partners in the US, Europe, and Japan. Currently, these packed chips are under the trial program.