Latest news with #TamilNaduElectronicsComponentsManufacturingScheme
Time of India
01-05-2025
- Business
- Time of India
TN CM launches special scheme on electronics components; targets ₹30,000 cr investments
Chennai: Aiming to garner investments to the tune of ₹30,000 crore and create 60,000 jobs in the State, Tamil Nadu Chief Minister M K Stalin launched the 'Tamil Nadu Electronics Components Manufacturing Scheme' here on Wednesday. The special initiative by the state government would support the production of electronic components in the State. Tamil Nadu had earlier rolled out the 'Semiconductor and Advanced Electronics Policy 2024' to further encourage value-added manufacturing and attract large scale investments in semiconductor sub-sectors. This policy has paved the way for Tamil Nadu to emerge as a front runner in the production of electronic goods. "In continuation of these efforts to strengthen the electronics manufacturing ecosystem, the Chief Minister has now launched this special scheme focused on electronic component manufacturing," an official release said on Wednesday. The 'Tamil Nadu Electronics Components Manufacturing Scheme' would offer incentives to attract companies that benefit under the Electronics Component Manufacturing Scheme of the Union Ministry of Electronics and Information Technology, it said. Through this scheme, the government would offer incentives that match the subsidies announced under the Centre's scheme. Tamil Nadu secured the top position among Indian states in electronics exports, achieving a record $14.65 billion in the 2024-25 financial year, becoming the first state to reach this milestone.
New Indian Express
01-05-2025
- Business
- New Indian Express
Tamil Nadu electronics scheme eyes Rs 30K crore investment, 60K jobs
CHENNAI: Chief Minister M K Stalin on Wednesday launched the Tamil Nadu Electronics Components Manufacturing Scheme (ECMS) with a target to attract Rs 30,000 crore investment and create 60,000 jobs over the next three to five years across the state. The announcement comes three days after the union government unveiled a set of guidelines and portal for the ECMS announced by it recently. Under the central scheme, which has a budgetary outlay of Rs 22,919 crore over six years, the union government offers hybrid incentives to companies to promote employment generation and economic growth. The Tamil Nadu scheme, a first in the country, announced on Wednesday would offer matching subsidies to companies that set up manufacturing units in the state under the central scheme, and has been designed to boost TN's competitiveness in attracting domestic and global investments, sources said. The state scheme covers 11 high-growth components, including flexible printed circuit boards (FPCBs), lithium-ion cells, HDI/MSAP boards, display modules and passive components. Officials said the diversification is intended to tap into emerging markets while strengthening the local electronics manufacturing ecosystem. 'Tamil Nadu is putting skin in the game,' said Industries Minister T R B Rajaa. 'This sends a strong message that the state is serious about leading India's electronics push. The scheme will generate high-value jobs and deepen local capabilities,' he said. 'We are targeting $100 billion in electronics exports,' Rajaa said. TN electronic components scheme has 6 key segments State officials told TNIE that any investor qualifying for central Production-Linked Incentive schemes will receive matching support from the state. The centre's scheme offers three options: a turnover-linked grant on incremental sales, a capex-linked incentive based on verified capital expenditure and commercial production, and a hybrid of the two. TN's matching model is expected to make the state a more attractive destination for high-value manufacturing. Six key segments will receive targeted support — including camera and display modules, non-SMD passive components, and multi-layer PCBs. Investment threshold begins at Rs 50 crore for basic components and can go up to Rs 250 crore for sub-assemblies. High-end PCBs are eligible for up to 10% incentive in the first year, tapering over six years. A separate 25% incentive applies to capital goods and their sub-components, subject to a Rs 10 crore minimum investment. While no value-addition targets have been mandated, the scheme signals a shift beyond final assembly towards more integrated manufacturing. The state will earmark land near upcoming industrial hubs to encourage the development of a self-sustaining supplier ecosystem. Officials said outreach to global component makers is under way. Tamil Nadu is the first Indian state to surpass $14.65 bn in electronics exports.
Time of India
30-04-2025
- Automotive
- Time of India
TN launches electronics components manufacturing scheme
TRB Rajaa CHENNAI: The Tamil Nadu govt on Wednesday launched an incentive scheme in line with the Union govt's programme to attract global and Indian electronics component manufacturing companies. The 'Tamil Nadu Electronics Components Manufacturing Scheme' will provide a matching grant to companies approved under Union govt's incentive package and the govt expects it to bring in Rs30,000 crore investments and create 60,000 jobs. After the scheme was launched by chief minister M K Stalin , industries minister T R B Raaja told the press, 'The scheme will target to attract 11 broad categories of components, including display and camera modules, printed circuit boards (PCBs), flexi PCBs, high density interface boards, lithium-ion battery cells, SMD passive components. This scheme targets machinery used in component making and supply chain infrastructure, along with sub-assemblies and bare components.' You Can Also Check: Chennai AQI | Weather in Chennai | Bank Holidays in Chennai | Public Holidays in Chennai Tamil Nadu leads the country in electronics exports at $14.65 billion in 2024-25 and this initiative is expected to further boost the sector and help us reach the target of $100 billion, Rajaa said. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like New Tech Is Replacing Traditional Air Conditioners in 2025 Chill Mate Read More Undo The Union ministry of electronics and information technology's electronics component manufacturing scheme (ECMS) aims at promoting non-semiconductor components. Establishing a components ecosystem within the state will significantly boost the value chain and proactive state-level engagement is key to maximising the impact of ECMS, said Ashok Chandak, president of India Electronics and Semiconductor Association (IESA). The synergy of the various central and state schemes will create a globally competitive, sustainable advantage, he added. Higher cost of logistics, finance and capex have hindered establishment of a domestic electronics component ecosystem with a NITI Aayog report estimating cost disability of up to 18% for components. The subsidies are expected to help manufacturers overcome disabilities and achieve economies of scale.
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Business Standard
30-04-2025
- Business
- Business Standard
TN launches India's first state electronics component manufacturing scheme
Adding to the state's recent success in electronics manufacturing and exports, the government of Tamil Nadu on Wednesday became the first in the country to launch a dedicated Electronics Components Manufacturing Scheme. The initiative is expected to attract investments worth Rs 30,000 crore and generate employment for over 60,000 people. Under the scheme, the state government will provide matching grants to complement the incentives offered by the Union government's electronic component schemes. On Wednesday, chief minister M K Stalin launched the Tamil Nadu Electronics Components Manufacturing Scheme, aimed at component manufacturers who qualify under the Union government's recently announced Electronics Component Manufacturing Scheme. This landmark policy aims to attract high-value investments and jobs by enabling Tamil Nadu's electronics manufacturing ecosystem to move up the value chain. The scheme comes at a time when the state's electronics exports have grown significantly—from $1.66 billion in FY21 to over $14.6 billion in FY25—making Tamil Nadu the largest electronics manufacturing export base in India. The state will offer matching incentives to approved applicants under the national scheme, amplifying the impact of investments and catalysing value-added manufacturing across key sub-segments. 'We are proud to announce India's first state-level matching-grant scheme for electronics. The Tamil Nadu Electronics Components Manufacturing Scheme is a strategic leap forward and a statement of intent that we are backing ambition with policy. We are sending a clear message to global and domestic investors that Tamil Nadu is the most committed and capable partner in India's electronics growth story,' said TRB Rajaa, minister of industries, government of Tamil Nadu. 'With the scheme, Tamil Nadu becomes the first state in India to put skin in the game by matching Union government incentives. With the state already accounting for 41.23 per cent of India's electronics exports, this scheme will help us attract further investments in the sector, and not only create new high-value jobs but also embed deep capabilities in our electronics components industrial landscape, enabling us to achieve our mission of $100 billion in electronic exports,' Rajaa added. The government is seeking to expand into more complex, higher-value areas and capture the entire supply chain. The announcement aligns with Tamil Nadu's broader policy framework, including the Tamil Nadu Semiconductor and Advanced Electronics Policy (2024). The scheme is expected to attract leading global and Indian firms in sub-segments such as HDI (high-density interconnect) or MSAP (modified semi-additive process) boards, display assemblies, camera modules, lithium-ion cells, SMD passive components, and capital goods used in electronics manufacturing. 'The matching-grants scheme is carefully structured to mirror the Union's electronic components scheme, with targeted support for the same segments — including sub-assemblies, bare components, capital equipment, and supply chain infrastructure. By offering a matching grant, we are ensuring that Tamil Nadu remains competitive in attracting these high-value, capital-intensive projects. This approach creates predictability and scalability for investors while reinforcing our policy focus on deep value-chain integration and ecosystem development,' he said.
New Indian Express
30-04-2025
- Business
- New Indian Express
Tamil Nadu eyes global electronics lead with unique scheme for niche components
CHENNAI: In a bold push to become a dominant player in the global electronics supply chain, Tamil Nadu on Wednesday launched the 'Tamil Nadu Electronics Components Manufacturing Scheme', a focused initiative to build an integrated electronics manufacturing ecosystem anchored on high-growth, niche components. Chief Minister M.K. Stalin inaugurated the scheme, which aims to attract Rs 30,000 crore in investment and generate 60,000 jobs across the state. The initiative zeroes in on eleven specific components, including flexible printed circuit boards (FPCBs) for wearable technology, lithium-ion cells, display modules, and passive components, sectors identified for their potential to yield rapid growth and differentiation. The scheme reflects the state's evolving strategy to deepen its electronics base by focusing on underdeveloped but high-demand segments. 'Building on existing strengths, we are focusing on niche markets where Tamil Nadu can establish a unique ecosystem,' said Industries Minister Dr. TRB Rajaa. Rather than merely drawing in investment, the initiative aims to develop a self-sustaining industrial environment where both major manufacturers and their suppliers can co-exist. As part of this strategy, the government will secure land near upcoming investment hubs to support ancillary growth and reduce logistical dependencies. In a significant move, the state has pledged to match subsidies under the central government's Electronics Component Manufacturing Scheme, offering investors a dual-incentive structure to set up operations in Tamil Nadu. The timing of the announcement aligns with heightened national interest in electronics manufacturing, especially as Apple scales up domestic production. Apple already manufactures 70 per cent of India's iPhones in Tamil Nadu, and Rajaa confirmed the state aims to further increase its share, solidifying its position in the global technology supply chain. Looking beyond smartphones, the Industries Minister also emphasised the need for a more balanced national strategy in semiconductor manufacturing. "India cannot rely on just one state for chip production," Rajaa said, urging the Centre to decentralise investments and leverage southern states' existing supply chains. Earlier this year, Tamil Nadu unveiled the 'Semiconductor and Advanced Electronics Policy 2024', another strategic initiative aimed at attracting high-tech investment. The state is already seeing results, in the 2024-25 financial year, Tamil Nadu became the first Indian state to record USD 14.65 billion in electronics exports, a figure expected to grow with the rollout of the new scheme.
