National

India becomes the world’s second largest mobile phone manufacturer

  • Electronics production is projected to increase nearly sixfold from ₹1.9 lakh crore in 2014-15 to ₹11.3 lakh crore in 2024-25.
  • Mobile phone exports are projected to increase 127-fold from ₹1,500 crore in 2014-15 to ₹2 lakh crore in 2024-25.
  • India is the world’s second-largest mobile phone manufacturer.
  • The electronics manufacturing sector has created 2.5 million jobs in the last 10 years.

NEW DELHI/12/10/2025 REPORT BY – SANTOSH SETH 

Electronics has become an engine of innovation and growth, powering economies and redefining the technological landscape.

Globally, the sector is shaping the way societies live, work, and interact, driving progress toward communication, automation, and connectivity.

India’s electronics and mobile manufacturing journey reflects ambition, innovation, and global competitiveness. Schemes such as the Production-Linked Incentive (PLI) scheme, the Scheme for Electronics Components Manufacturing (ECMS), and the Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) have boosted domestic production, strengthened supply chains, and promoted exports.

Combined with initiatives under the National Electronics Policy and Make in India, these measures have created jobs, attracted investment, and enhanced India’s technological self-reliance.

With continued innovation and policy support, the country is poised to achieve a $500 billion domestic electronics ecosystem by 2030-31 and consolidate its position as a global leader in electronics and mobile technology.

India has rapidly developed into a major electronics manufacturing hub, experiencing a nearly six-fold increase in production over the past decade.

The sector has not only expanded its industrial base but also created 2.5 million jobs over the past 10 years, underscoring its role as a key driver of employment and economic growth.

Significant government initiatives and strong policy support have further boosted local manufacturing, expanded exports, and attracted significant global investment.

With an ambitious vision to build a $500 billion domestic electronics manufacturing ecosystem by 2030-31, India is poised to emerge as a global technology leader, creating vast opportunities domestically and innovating for the world.

Electronics Production and Export Scenario

Thanks to initiatives like Make in India and Atmanirbhar Bharat, strong policy support, technological advancements, and a skilled workforce, India has rapidly become a global hub for electronics manufacturing, driving both production and exports to unprecedented levels.

Major achievements:

  • Electronics production increased nearly sixfold from ₹1.9 lakh crore in 2014-15 to ₹11.3 lakh crore in 2024-25.
  • During the same period, exports increased eightfold from ₹38,000 crore to ₹3.27 lakh crore.
  • Over the last 10 years, electronics manufacturing in India has created 2.5 million jobs.
  • Since FY 2020-21, India has attracted over $4 billion in FDI in the electronics manufacturing sector.
  • The top five export destinations for Indian electronic goods in FY 2024-25 are the US, UAE, Netherlands, UK, and Italy.

Supportive measures such as the Production-Linked Incentive (PLI) scheme and improvements in ease of doing business have significantly boosted manufacturing and exports.

Rapid growth in electronics production has created substantial employment opportunities across the country, while India’s electronics sector has become deeply integrated into global supply chains, enhancing competitiveness and attracting foreign investment.

India’s mobile phone revolution is reshaping lives and livelihoods. With over 85 percent of Indian households owning at least one smartphone, the device today serves as a means of accessing banking, education, entertainment, and government services.

Mobile connectivity has become a powerful driver of financial inclusion and digital empowerment, making India one of the world’s most interconnected societies.

Key Achievements:

  • Mobile phone production has increased 28-fold from ₹18,000 crore in 2014-15 to ₹5.45 lakh crore in 2024-25.
  • India has become the world’s second-largest mobile phone manufacturer.
  • India’s mobile manufacturing industry has grown rapidly – ​​from just 2 units in 2014 to over 300 units today.
  • Approximately 330 million mobile phones are produced annually, and approximately one billion devices are in active use across the country.
  • Exports have increased 127-fold from ₹1,500 crore in 2014-15 to ₹2 lakh crore in 2024-25.
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  • n 2024, Apple’s exports from India reached a record ₹1,10,989 crore ($12.8 billion), surpassing the ₹1 lakh crore mark with 42 percent annual growth.
  • In just the first five months of FY 2025-26, smartphone exports reached ₹1 lakh crore, a 55% increase over the same period last year.
  • From importing 78% of its needs in 2014-15 to manufacturing almost all devices domestically today, India has achieved near-self-sufficiency in mobile production.
  • In the second quarter of FY 2025-26, India became the top smartphone exporter to the US, surpassing China.

India Mobile Congress 2025

The 9th edition of the India Mobile Congress is being held in Yashobhoomi, New Delhi. It will be inaugurated by Prime Minister Narendra Modi.

The event highlights India’s growing strength in electronics and mobile manufacturing, exports, and technological innovation.

More than 150,000 visitors, 7,000 global delegates, and 400 companies from 150 countries are participating. More than 1,600 use cases in mobile technology, 5G, 6G, AI, smart mobility, cybersecurity, quantum computing, and green technology will be showcased across 100 sessions with 800 speakers.

  • The event includes six key global summits highlighting the technologies shaping India’s electronics and mobile sector:
  • The International India 6G Symposium, showcasing India’s leadership in 6G research,
  • The International AI Summit, focusing on AI applications in networks and mobile services,
  • The Cyber ​​Security Summit, emphasizing secure telecommunications for over 1.2 billion users,
  • The Satcom Summit, exploring satellite-based communication solutions,
  • The IMC Aspire Program, connecting startups with global investors,
  • The Global Startup World Cup – India Edition, providing international funding opportunities,
  • IMC 2025 highlights India’s position as a global hub for electronics and mobile innovation, supporting the production, export, and adoption of next-generation technologies.

Electronics as the Backbone of Modern Industry 

Electronics are the backbone of the modern economy. From homes to hospitals, and factories to vehicles, they enable efficiency, comfort, and innovation.

Today, every major sector relies on electronics to improve performance, enhance security, and provide better services. As technology advances, the importance of electronics in driving progress across industries continues to grow.

Some of the areas where electronics play a vital role include:

Consumer Electronics

Consumer electronics have become an integral part of daily life. Every household now relies on appliances such as televisions, refrigerators, air conditioners, and washing machines.

These products bring convenience, entertainment, and efficiency to homes. The increasing affordability and variety of consumer devices reflect the growing role of electronics in improving the quality of life for millions of people.

Electronic Components

Electronic components are the foundation of the entire electronics ecosystem. They power every device, from simple household appliances to complex industrial systems.

Without these essential components, no manufacturer can produce consumer electronics, defense systems, or medical devices. The strength of this sub-sector determines the overall resilience and competitiveness of the electronics industry.

Automotive Electronics

Modern vehicles are increasingly dependent on electronics for performance, safety, and connectivity. As the world transitions to electric and smart mobility, the demand for automotive electronics is rapidly increasing.

Urbanization and the growing need for clean transportation are further accelerating this change. From sensors to infotainment systems, electronics are transforming the way vehicles operate and interact with users.

Medical Electronics

The rise in lifestyle diseases and the increasing demand for healthcare have expanded the medical electronics market. Devices such as oximeters, glucometers, and digital monitors are now commonplace in both homes and hospitals.

Innovations in medical technology are improving diagnosis, treatment, and patient care. Electronics have made healthcare more accessible, accurate, and responsive to the needs of a changing world.

Key Government Initiatives for Electronics Manufacturing

India’s electronics industry has grown on the back of strong policy support and targeted government initiatives. These programs aim to build a globally competitive manufacturing ecosystem, attract investment, and strengthen India’s role in global value chains while generating large-scale employment.

Production-Linked Incentive (PLI) Scheme

The Production-Linked Incentive Scheme, with an outlay of ₹1.97 lakh crore, covers 14 key sectors, including electronics and IT hardware. It encourages companies to increase production, adopt new technologies, and expand exports.

  • PLI Scheme for Large-Scale Electronics Manufacturing and IT Hardware
  • Investment attracted: ₹13,107 crore
  • Production achieved: ₹8.56 lakh crore
  • Exports achieved: ₹4.65 lakh crore
  • Creation of over 1.35 lakh direct jobs
    *Data as of June 2025

As mentioned earlier, India has attracted over $4 billion in FDI in the electronics manufacturing sector since FY 2020-21. Approximately 70% of this FDI has been contributed by PLI scheme beneficiaries.

Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS)

The SPECS scheme provides a 25 percent financial incentive on capital expenditure for the production of key electronic items.

The scheme aims to address critical supply chain gaps, encourage local production, and help India transition from manufacturing based on disassembly or assembly of individual components to high-value component manufacturing.

Electronics Component Manufacturing Scheme (ECMS)

The ECMS, approved by the Cabinet on May 1, 2025, with a financial outlay of ₹22,919 crore, has received 249 applications, indicating strong interest from industry. The estimated investment commitment of ₹1,15,351 crore is almost double the original target of ₹59,350 crore.

The scheme is expected to generate production worth ₹10,34,700 crore over the next six years, 2.2 times the initial target of ₹4,56,000 crore. It is estimated to create 142,000 direct jobs,

far exceeding the target of 91,600, and many times as many indirect jobs. This demonstrates the scheme’s potential to significantly boost employment and economic growth.

The overwhelming response to the scheme reflects India’s growing stature on the global stage and the growing confidence in the domestic electronics industry, including MSMEs.

The initial three-month application period, which began on May 1, 2025, was extended to September 30, 2025. The ECMS is expected to accelerate India’s journey towards the Prime Minister’s vision of a $500 billion domestic electronics manufacturing ecosystem by 2030-31.

National Electronics Policy (NPE) 2019

The National Electronics Policy aims to establish India as a global hub for Electronics System Design and Manufacturing (ESDM).

It aims to generate $400 billion in revenue from ESDM by 2025. The policy fosters innovation, encourages design-led manufacturing, and promotes research and development to ensure the industry’s long-term growth.