The Economic Times article, published on January 3, 2026, highlights that the Electronics Components Manufacturing Scheme (ECMS) is propelling India's manufacturing sector towards deeper domestic value addition, a crucial evolution for the 'Make in India' initiative. While the Production Linked Incentive (PLI) scheme successfully attracted global firms for mobile phone assembly, it revealed a reliance on imported components, keeping local value addition at 15-20 percent. The ECMS directly addresses this gap by incentivizing the manufacturing of components, materials, and equipment within India, thereby transforming the country from an assembly base into a comprehensive electronics manufacturing ecosystem. The Ministry of Electronics and Information Technology recently approved the third tranche of projects under ECMS, comprising 22 new proposals. These projects are set to attract a total investment of ₹41,863 crore and are projected to achieve a production value of ₹2.58 lakh crore, creating nearly 34,000 direct jobs. Major firms like Dixon, Samsung Display Noida, Foxconn's Yuzhan Technology, Tata Electronics, and Hindalco are part of this expansion, underscoring the scheme's impact. This shift towards component manufacturing is vital for improving margins, developing skills, strengthening supplier networks, and enhancing India's bargaining power in global markets, ultimately having a more meaningful impact on GDP, exports, and employment. Furthermore, India is set to achieve a significant milestone in its technology ambitions, with four semiconductor manufacturing facilities scheduled to commence commercial production in 2026. Companies such as Micron, CG Power, Kaynes Technology, and Tata Electronics are among those transitioning from pilot stages to full-scale operations, marking a critical step in building domestic chip-making capabilities and reducing import dependence. Overall, electronics production in India has seen a six-fold increase and exports an eight-fold rise over the last decade, with the sector now employing around 25 lakh people.