Ask anyone on the streets of Bangalore or the tech parks in Hyderabad: the buzz around electronics manufacturing in India is hard to ignore. Smartphones, smart TVs, semiconductors, and solar panels—India is making its mark. Just scroll through your Amazon order history. Odds are, at least one electronic gadget you bought in the last year was assembled or even made in India. But here's the burning question: how does India stack up globally in the high-stakes world of electronics manufacturing?
India’s Position in Global Electronics Production: Cracking the Numbers
Back in 2014, India was barely a blip on the global electronics production radar—definitely outside the top five, and not even close to challenging the titans. Fast forward to 2025, and it’s a different story. According to data from the Indian Ministry of Electronics and IT (MeitY), India now ranks third in the world for electronics production—right after China and Vietnam. You read that right: third place, up from almost nowhere a decade ago.
So, what does this "third place" actually mean in numbers? The Ministry of Electronics and Information Technology reported that India’s electronics manufacturing industry hit $105 billion in value for the financial year 2024-2025. Only China and Vietnam, with $1.5 trillion and $135 billion respectively, are ahead on the scoreboard. The US and South Korea round out the top five—but their growth rates aren’t spiking like India’s.
To put it into perspective, take a quick look at a snapshot of global electronics production rankings in 2025:
| Rank | Country | Production Value (USD Billion) |
|---|---|---|
| 1 | China | 1,500 |
| 2 | Vietnam | 135 |
| 3 | India | 105 |
| 4 | United States | 85 |
| 5 | South Korea | 80 |
India’s boom isn’t just about assembly lines or cheap labor. Consider this: India now produces 80% of its mobile phones domestically, up from a measly 19% in 2014. The country churned out over 330 million smartphones in 2024 alone. If you’re still picturing old-school circuit board factories, think again. Major global powerhouses like Apple, Foxconn, Samsung, and Dixon Technologies have set up massive plants around Noida, Chennai, and Bengaluru. India even exported over $25 billion worth of electronics in 2024, with mobile phone exports alone crossing $15 billion. That’s a jaw-dropping leap.
Of course, China’s numbers are still monstrous—India isn’t knocking China off its pedestal just yet. But the growth trajectory is there. Analysts at Counterpoint Research and IBEF say at current rates, India could close in on Vietnam by 2027—impressive, considering Vietnam’s head start and geographical advantages. The world’s biggest brands are also shifting their manufacturing to India, lured by the “China plus one” strategy that many Western companies are now pursuing.
What’s Driving India’s Electronics Surge?
Making such a giant leap in such a short time isn’t just luck. India set the stage with policy changes and some very pointed incentives. The Production Linked Incentive (PLI) scheme kicked off in 2020 and lit a fire under electronics manufacturing. It gives companies cashback for boosting domestic production and encourages global behemoths to set up shop. Over 30 global firms, including Apple suppliers like Pegatron and Wistron, qualified for these incentives by 2024. Once they got involved, the domino effect kicked in—more suppliers, more ecosystem players, more jobs.
The government also slashed import duties on key components and rolled out schemes specifically to boost semiconductor manufacturing. India’s first major semiconductor plant—a $2.7 billion Vedanta-Foxconn joint venture—is rising in Gujarat right now. By 2025, local chip packaging and testing capacity has ramped up, although making advanced chips domestically remains further down the road.
Domestic demand is another huge factor. India’s middle class is ballooning at a record pace, with people hungry for better phones, TVs, laptops, and appliances. Everyone wants the latest gadgets, and local manufacturers can pivot faster to cater to Indian tastes. And it's not all about the metropolises—Tier-2 and Tier-3 cities are buying electronics faster than the supply chains can keep up.
Supply chain resilience is another thing. Since COVID-19, global brands realized they couldn’t bet everything on one country (hint: China). India, with its growing pool of skilled engineers and English-speaking managers, suddenly looks like the plan B that’s actually delivering.
Still, it’s not easy street. Indian manufacturers face stiff competition from Southeast Asia and must keep up the investment in R&D to move from assembly to innovation. Infrastructure—ports, highways, reliable electricity—remains patchy in places, adding costs and delays. But with government and corporate investment pouring in, that’s slowly changing.
How India’s Electronics Industry Looks in 2025—and Where It’s Headed
It's not just about churning out mobile phones anymore. India now assembles everything from laptops, smartwatches, LED lighting, telecom equipment, to even defence electronics. A bunch of international brands launched ‘Made in India’ laptops and even a few premium smart TVs this year. Homegrown giants like Dixon, Lava, and Micromax are rising from the ashes, proving local champions can play globally, too.
One of the biggest new frontiers is semiconductor packaging and electronics design services. Local companies like Tata Electronics and Sahasra Semiconductors (don’t let the names fool you; they’re backed by serious money) are finally laying the groundwork for true end-to-end production. If chip fabrication (fabs) scales over the next five years, India could become an electronics superpower, not just a cheap labor source.
This journey is throwing up thousands of new jobs each year. For every engineer on the factory floor, there are dozens of roles in logistics, quality, R&D, UX design, and even recycling. In 2025, electronics manufacturing directly supports almost 2.5 million jobs in India—and that’s not counting the gig workers, repair guys, and local technicians cropping up in smaller cities and towns.
If you run an electronics business or dream of starting one, India’s market is becoming fertile ground. The PLI and similar schemes offer subsidies for everything from setting up shop to exporting overseas. One caveat: you’ve got to be nimble. Regulatory changes, shifting demand, and new environmental guidelines pop up constantly. Following sector updates from MeitY and local industry groups is essential to avoid stumbling into red tape or missing juicy grants.
- If you’re a student or fresh graduate, focus on skills in hardware, embedded systems, and semiconductor tech. Specialized institutes and OEMs are partnering on upskilling—the right training can land you a job fast.
- If you’re an investor, watch for Indian EMS (Electronics Manufacturing Services) firms going public. Stocks like Dixon Technologies jumped over 200% in the past three years.
- For DIYers or hobbyists: Indian e-commerce sites now stock almost every type of PCB, microcontroller, and IoT hardware at local prices. The days of waiting weeks for imports are pretty much over.
What do the next few years hold? Analysts predict India’s electronics industry will smash the $150 billion mark by 2027, possibly overtaking Vietnam. The push for exporting high-value products—not just assembling low-cost phones—could see India making a dent in global value chains. With the right policy moves and tech adoption, India may well become the world's second-largest electronics producer by 2030. The ride promises more speed bumps, but the finish line is getting closer than ever before.
