India Enters a ‘Defining Phase’ in Electronics Manufacturing as Global Value Chains Shift: ICEA

New Delhi- India’s electronics manufacturing sector is entering a critical and transformative phase as global value chains undergo realignment, positioning the country as a trusted production and export destination, the Indian Cellular and Electronics Association (ICEA) said on Thursday.

According to the industry body, achieving the national target of a **$500 billion electronics industry** will require sustained manufacturing scale, global competitiveness, and a stable, predictable policy environment across all major electronics-producing states.

ICEA noted that under the existing fiscal support framework, India has established a strong base—led by the robust growth of mobile phone manufacturing.

Mobile phone production has surged **over 2700 per cent**, exports have grown **130 times**, and **more than 13 lakh jobs** have been created in the past decade, ICEA highlighted. A large share of these workers are first-time employees, especially women, who now form the backbone of the modern electronics manufacturing workforce.

The rapid expansion in mobile manufacturing has fueled growth in several related segments, including components, PCB assemblies, chargers, wearables, audio devices, industrial and aerospace electronics, and even toys—strengthening India’s supply-chain depth and long-term integration into global value networks.

ICEA said that global investor confidence remains strong, with companies continuing to expand their India operations. This is also reflected in the strong interest in the **Electronics Component Manufacturing Scheme (ECMS)**, which aims to build indigenous component ecosystems, deepen value addition, and create Indian champions in core electronics manufacturing.

The report also highlighted **Karnataka’s pivotal role** in India’s electronics growth story. With a robust innovation ecosystem, a tech-ready workforce, and a culture of design excellence, Karnataka now contributes **21.3% of India’s mobile phone exports** and **20% of overall electronics exports**.
Mobile phones alone account for nearly **65% of Karnataka’s electronics exports**, ICEA noted.

State Industries Minister M. B. Patil said that discussions with ICEA underscored the opportunities for expanding electronics and mobile manufacturing in Karnataka. He added that the state's investment-friendly policies, strong incentives, and an upcoming vision document position Karnataka to attract more investments and create high-quality jobs.

ICEA said the current decade presents a major opportunity for all key states to collaborate with the Centre and industry stakeholders to strengthen India’s electronics value chain. Sustained outreach, ecosystem building, and long-term policy continuity will be critical for India to achieve its global electronics ambitions.

With inputs from IANS