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The government approved 31 projects worth ₹7,877 crore under the 5th tranche of ECMS

ICICIdirect Research 18 Aug 2026 DISCLAIMER

 News: The government approved 31 projects worth ₹7,877 crore under the 5th tranche of ECMS, covering 30 products across 10 states and targeting ₹82,243 crore of production. This takes total approved projects to 106 under ECMS, with committed investment of ~₹69,500 crore and projected production of ₹5.34 lakh crore, while 38 projects have already started commercial production. The latest approvals cover critical components and manufacturing equipment including camera/display modules, connectors, optical transceivers, coils, filters, capacitors, rare-earth magnets and capital goods, further deepening India’s domestic electronics ecosystem.

View: The latest approvals reinforce the government’s focus on building a domestic electronics components ecosystem and reducing import dependence. Among the listed EMS players, Syrma SGS received approval for coils worth ₹60 crore. These coils are used in its electromagnetic products, enabling greater backward integration and enhancing in-house component capabilities. Centum Electronics received approval for transducers and filters worth ₹54 crore, which are used across sensors for aerospace, defence and healthcare applications, further strengthening its presence in high-value, mission-critical components. While Jyoti CNC has received an approval for ₹1021 crore for capital equipment/machinery used in electronics manufacturing process. Overall, the approvals are positive for the EMS and electronics manufacturing ecosystem, as increasing domestic component manufacturing should improve localization, reduce import dependence and create additional growth opportunities for Indian EMS players over the medium to long term.

Impact: Positive

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