India’s Electronics Manufacturing Boom: 7 Jaw-Dropping Wins Powering a Global Supply Chain Revolution

Under Prime Minister Narendra Modi’s leadership, India’s electronics manufacturing sector has surged, achieving a fivefold production increase to ₹11 lakh crore and a sixfold export rise exceeding ₹3.25 lakh crore in a decade. Union Minister Ashwini Vaishnaw recently highlighted the Cabinet-approved New Electronics Component Manufacturing Scheme, designed to strengthen India’s role in global supply chains by supporting passive components (resistors, capacitors) alongside active semiconductor initiatives. This integrated approach aims to reduce import reliance, attract investments, and generate skilled jobs.  

A milestone in this growth is VVDN Technologies’ inauguration of cutting-edge facilities in Manesar, including a high-speed SMT line (250,000 components/hour) and a Mechanical Innovation Park, fostering end-to-end production of AI servers, 5G devices, and advanced hardware. With 5,000+ engineers driving R&D, India’s design ecosystem now rivals global standards, enabling complex innovations like indigenous AI tools and 6G-ready solutions.  

Backed by robust IP safeguards, rare earth supply chains, and a three-tier skilling strategy (basic training, on-site upskilling, academia partnerships), India is poised to lead trusted electronics manufacturing, combining scale, innovation, and policy agility to reshape global value chains.

India’s Electronics Manufacturing Boom: 7 Jaw-Dropping Wins Powering a Global Supply Chain Revolution

Under Prime Minister Narendra Modi’s leadership, India’s electronics manufacturing sector has undergone a seismic transformation, positioning the country as a pivotal player in global supply chains. Union Minister Ashwini Vaishnaw recently underscored this progress, revealing that electronics production has skyrocketed fivefold to ₹11 lakh crore ($132 billion) in the last decade, with exports surging sixfold to over ₹3.25 lakh crore ($39 billion). This growth, coupled with the Cabinet’s approval of the New Electronics Component Manufacturing Scheme, signals India’s ambition to become a self-reliant electronics powerhouse.

The Component Manufacturing Revolution 

The newly approved scheme aims to fortify India’s role in global value chains by addressing both active and passive components:  

• Active Components: Covered under the ₹76,000 crore National Semiconductor Mission, this includes chips and processors critical for advanced technologies.  

• Passive Components: Resistors, capacitors, and connectors, now supported by the new scheme, will reduce import dependency and enhance domestic production. 

By bridging gaps in the supply chain, India seeks to attract investments, generate skilled jobs, and foster innovation. Minister Vaishnaw emphasized that guidelines for the scheme will soon be rolled out, accelerating India’s shift from assembly-led manufacturing to a holistic, design-driven ecosystem.  

VVDN’s Cutting-Edge Facilities: A Case Study in Innovation 

The inauguration of VVDN Technologies’ state-of-the-art Surface Mount Technology (SMT) Line and Mechanical Innovation Park in Manesar exemplifies India’s manufacturing prowess. Key highlights include:  

• High-Speed SMT Line: Capable of assembling 250,000 components per hour, this facility supports large PCB sizes (850mm x 560mm), enabling mass production of AI servers, 5G devices, and advanced motherboards.  

• Mechanical Innovation Park: Spanning 1.5 lakh sq. ft., the park integrates tool-making, CNC machining, and injection molding, creating a seamless design-to-production pipeline. 

These facilities, expected to create 3,000+ skilled jobs, underscore India’s focus on backward integration—a strategy critical for reducing reliance on foreign inputs.  

Design & Skilling: India’s Dual Advantage 

India’s edge lies not just in manufacturing but in its burgeoning design ecosystem. VVDN’s 5,000-strong engineering team, developing AI-embedded systems and 6G-ready solutions, reflects this shift. “We’re no longer just ‘making in India’ but designing in India,” noted Vaishnaw, highlighting the nation’s ability to innovate complex hardware, from AI servers to EV components.  

To sustain this momentum, a three-tier skilling strategy has been launched:  

• Basic Training: For entry-level workers.  

• On-Site Upskilling: Product-specific training at manufacturing hubs.  

• Industry-Academia Collaboration: Universities offering courses aligned with sector needs, particularly in high-capEx areas like semiconductor fabrication. 

Global Confidence & Self-Reliance 

India’s strides in IP protection, rare earth supply chain diversification, and quality compliance have bolstered global trust. Recent deployments, such as VVDN’s 6,000 AI servers, demonstrate India’s capacity to deliver cutting-edge, trusted hardware—a selling point for multinationals diversifying away from China.  

The Road Ahead 

With the electronics sector already employing 2.5 million people, India’s integrated approach—blending policy support (PLI schemes, component manufacturing incentives), infrastructure development, and private-sector dynamism—sets the stage for exponential growth. As Minister Vaishnaw concluded, “Our goal is a technology-led economy, where innovation drives every aspect of manufacturing.”  

In essence, India is no longer content with being a back-office for the world. By marrying scale with sophistication, it is carving a niche as a global hub for end-to-end electronics innovation—a vision now within reach.