Hyderabad: Centre approved Electronics manufacturing clusters at Manallur and Pillapaikkam in Tamil Nadu with a combined investment of ₹1,012 crore to strengthen electronics production, attract investment and expand the semiconductor ecosystem.
The two Electronics Manufacturing Clusters (EMCs) will cover 474.3 acres at Manallur with an investment of ₹587.47 crore and 379.3 acres at Pillapaikkam with an investment of ₹424.55 crore. The projects aim to improve industrial infrastructure and support electronics manufacturers in the state.
The Ministry of Electronics and Information Technology said India has rapidly expanded its electronics manufacturing ecosystem through reforms, production-linked incentives and investment support. Electronics production increased from about ₹1.9 lakh crore in 2014-15 to ₹13.11 lakh crore in 2025-26. Electronics exports also climbed from about ₹38,000 crore to ₹4.24 lakh crore during the same period.
India now manufactures about 99.2% of the mobile phones sold in the domestic market. In addition, the sector supports nearly 25 lakh jobs, according to industry estimates.
Electronics manufacturing clusters strengthen semiconductor ecosystem
The government said Tamil Nadu has emerged as a major electronics manufacturing destination with production facilities spread across districts including Kancheepuram, Chennai, Chengalpattu, Tiruvallur, Krishnagiri and Coimbatore.
The Centre also highlighted progress under the Semicon India Programme. It approved 12 semiconductor projects across six states with investment commitments of about ₹1.64 lakh crore. Three of those projects have already started commercial production.
Moreover, the government supported semiconductor design companies in Tamil Nadu through grants and Electronic Design Automation tools under the Design Linked Incentive scheme. It also extended semiconductor talent development to 315 institutes across India, including 61 institutions in Tamil Nadu.
The Centre recently approved Semicon 2.0 to strengthen the entire semiconductor value chain. Officials said the programme would create fresh investment opportunities for all states, including Tamil Nadu.
The government also said IndiaAI Mission continues to support indigenous artificial intelligence models, AI Centres of Excellence and digital infrastructure to strengthen India’s technology ecosystem. Meanwhile, over 18,600 Common Services Centres are functioning in Tamil Nadu, including more than 12,300 in rural areas, to expand digital access and citizen services.
