Electronic components PLI received over ₹50K cr proposals: Vaishnaw

Today, the world trusts India's electronics manufacturing capabilities, says Vaishnaw

Despite geopolitical challenges and high tariffs, India’s electronics manufacturing is on a roll, and smartphone exports are set to hit a new record in FY26, Union Minister of Electronics and Information Technology Ashwini Vaishnaw tells Surajeet Das Gupta in an email interview. Edited excerpts:

 

The last date for companies to apply for production-linked incentive (PLI) on electronic components, in which the government has earmarked ₹22,919 crore for incentives, ends on September 30. What has been the response so far? 

Yes, we already have applications for more than ₹50,000 crore worth of investments in manufacturing electronic components. The momentum built by electronics manufacturing in the past 11 years is clearly reflected in this demand. Electronics manufacturing in India has grown sixfold, reaching a production value of ₹11.5 trillion, with exports of over ₹3 trillion, and generating direct and indirect employment for 2.5 million citizens.

 

Despite global challenges, India’s smartphone exports touched $10 billion in the first four months of FY26. What is the estimate for the full year, compared to the $25 billion achieved in FY25? 

Today, the world trusts India’s electronics manufacturing capabilities. It has been established through consistent policy measures and the Prime Minister’s vision. Despite turbulence, India’s smartphone exports are on track to cross the $30-35 billion range by the end of FY26. We see expansion of domestic manufacturing by almost every company.

 

The mobile manufacturing ecosystem is also driving investments in accessories such as glass covers.

 

There has been a clamour for an extension of the PLI scheme for mobile devices, or support for homegrown players and exports, for a few more years. What is the government’s position? How will you ensure that the momentum in smartphone production and exports continues? 

India is now the second-largest mobile phone producer in the world. Our attempt is to convert these production gains into long-term industrial leadership in smartphones and beyond. We are discussing the future road map with all stakeholders.

 

With the PLI scheme on electronic components taking off, what kind of revenues can it generate for the electronics industry? Could this drive India to the $500 billion milestone in electronics production, and what share might exports contribute?

 

Yes, the electronics industry is well on track to achieve the ambitious goal of $500 billion in production. Since the launch of PLI, electronics production has grown at double-digit rates every year, taking India’s output to around ₹12 trillion. Backed by PLI, SPECS, and modern infrastructure, the industry is confident of meeting this target.

 

The Semicon 2.0 scheme, following the initial ₹75,000 crore subsidy for the sector, is under discussion. Apart from incentives for ecosystem building, how many additional fab plants are we looking at in this phase? 

So far, 10 semiconductor projects worth ₹1.6 trillion have been approved across six states, covering two fabs, eight ATMP/OSAT facilities, and compound semiconductor units.

 

Under the DLI scheme, domestic chip design and intellectual property rights are advancing rapidly in areas such as CCTV cameras, energy metering, networking, and motor control. To date, 23 chip design projects have been approved, and 72 companies now have access to industry-grade EDA tools.

 

The focus now is on building full-stack capacity, including materials, gases, chemicals, and tools. Semicon 2.0 will be the next step in accelerating this journey, ensuring India anchors itself as a trusted global semiconductor hub.

 

What were the takeaways from the recently concluded SEMICON India 2025, and how do they reflect India’s growing role in the global semiconductor ecosystem? 

At SEMICON India 2025, over 500 leaders from 48 countries came together — including global equipment and materials giants such as ASML, Lam Research, Applied Materials, Merck, and Tokyo Electron.

 

Students from 17 institutes showcased 20 indigenously designed chips, with more in the pipeline at SCL Mohali.

 

The event witnessed 13 major announcements focused on product development, service expansion, and talent building — a strong signal of global confidence in India’s semiconductor mission.

 

This momentum is a testament to the world’s faith in India’s growing role as a semiconductor hub.