Electronics manufacturing in India has reached an inflection point. Once considered merely a potential alternative to established manufacturing hubs, India’s EMS sector is now experiencing explosive 35% year-on-year growth, with projections to expand from $35 billion today to $300 billion in the coming years.
Speaking with industry leaders Anthony Montalbano (CEO of CyientDLM) and Vivek Khanna (MD of Indic EMS Electronics), we explore how Indian manufacturers are carving out a unique position in the global electronics ecosystem. Rather than competing solely on cost, they’re focusing on high-mix, low-volume manufacturing in mission-critical sectors like aerospace, defense, medical, and industrial applications where quality and reliability trump price considerations.
What makes this transformation possible? A convergence of factors has created perfect conditions: government initiatives like the Production-Linked Incentive (PLI) schemes, dramatic infrastructure improvements, geopolitical shifts driving “China plus one” strategies, and India’s massive talent pool of engineers and skilled technicians. The domestic market provides stability that export-dependent manufacturing nations lack, while double-digit EBITDA margins make Indian EMS companies attractive investment targets.
Particularly fascinating is how Indian manufacturers are leveraging their software expertise to implement advanced automation and AI systems, creating smart factories that generate real-time data for quality control and supply chain visibility. As one executive noted, “We’ve shown how digitization can work in India” – pointing to the country’s remarkable transition to cashless transactions handling even micro-payments of just a few cents.
Challenges remain, particularly in developing robust local supply chains for components like PCBs and specialized mechanical parts. However, these gaps represent opportunities for new entrants to the ecosystem as the industry continues its exponential growth trajectory.
Join us for this eye-opening discussion about what may be the most significant shift in global electronics manufacturing since China’s rise two decades ago.
The EMS Show is sponsored by global inspection leaders Koh Young (https://www.kohyoung.com)
