Syrma SGS Technology anchors ₹1,800 crore PCB push in Andhra Pradesh

Syrma SGS Technology, in collaboration with Shinhyup Electronics, will establish India's largest PCB and CCL manufacturing facility in Andhra Pradesh, with an investment of Rs 1,800 crore

In a major boost to India’s electronics supply chain, Chennai-based Syrma SGS Technology is set to establish the country’s largest multi-layer Printed Circuit Board (PCB) and Copper Clad Laminate (CCL) manufacturing facility at Naidupeta in Andhra Pradesh. The company plans to invest around ₹1,800 crore in the project, in partnership with South Korean major Shinhyup Electronics Ltd for technology and marketing support.

 

Sources indicate that discussions are in an advanced stage, and the Andhra Pradesh cabinet is expected to clear a proposal by the company soon. The company may be applying for a production-linked incentive (PLI) under the Government of India’s electronics manufacturing schemes. It has also approached the state government for incentives, including capital subsidy, electricity duty incentives, and skilling incentives. The project is expected to be commissioned by 2026–27.

 

 

PCBs are considered the fundamental component in most electronic devices, providing a platform for mounting and connecting electronic components, while CCL is the foundational material in PCB making. PCBs from the unit will be used in key new-age verticals like smart metering, healthcare and medical devices, automotive, and electric mobility. This comes after the central government launched the Electronics Component Manufacturing Scheme with funding of ₹22,919 crore to make India Atmanirbhar in the electronics supply chain. Last year, the Centre also imposed a 30 per cent anti-dumping duty (ADD) on bare printed circuit boards (BPCBs) to boost domestic production. 

 

"Syrma SGS would be investing ₹1,800 crore in developing a PCB manufacturing facility and a copper clad laminate manufacturing facility in Andhra Pradesh. The company has applied to the state government for incentives under its electronics manufacturing policy and its new industrial policy 4.0," said a state government source.

 

"The plant would be located in Naidupeta, in Tirupati district, in close proximity to Chennai. The company is attracted by ready land availability and water availability for the project," the source said. Syrma SGS did not respond to questions from Business Standard.

 

According to market intelligence firm UnivDatos, the quick electrification of cars and the incorporation of modern driver-assistance systems (ADAS) have increased the demand for advanced PCBs in the Indian car industry. Smart dashboards, battery management systems, infotainment, and electric vehicles (EVs) are becoming the norm, and in many ways, this translates to a need to utilise high-quality and sturdy PCBs.

 

"The new projects in Andhra Pradesh may add ₹6,200 crore to the topline of Syrma SGS. In addition to the PCB manufacturing facility, Syrma would also be manufacturing copper clad laminate, which is the major input into PCB manufacturing. Shinhyup Electronics of South Korea would be partnering in this project as well," the source added. The company will also be developing a research and development facility for new engineering.

 

The India PCB market is driven by South India, which has major clusters in the electronics manufacturing industry in cities such as Bengaluru, Chennai, and Hyderabad. The market provides an excellent ecosystem comprising many OEMs, EMS suppliers, and chip firms, so that a stable and multifaceted PCB demand is available, the report said.

 

UnivDatos adds that the India PCB market was valued at $6.237 billion in 2024 and is expected to grow at a strong CAGR of around 16.40 per cent from 2025 to 2033, owing to the surge in demand for consumer electronics, electric vehicles, and IoT devices, significantly propelling PCB consumption across India.