The meeting between Prime Minister Narendra Modi and Chinese President Xi Jinping has raised hopes for India’s electronics manufacturing industry. Discussions about joint ventures and technology collaborations between Indian and Chinese businesses are intensifying. This development is linked to US tariff pressures and the positive shift in India-China relations following the Shanghai Summit. The effects of Trump tariffs extend beyond India, putting pressure on the worldwide supply chain.
Media sources suggest that many partnerships are likely to center on electronics components. Indian manufacturers are actively seeking to partner with Chinese companies for technology. Experts in the field highlight that the central government’s Electronics Component Manufacturing Scheme (ECMS) has been instrumental in driving these initiatives. Numerous companies are rapidly applying for approval to secure a share of the ₹22,919 crore in incentives provided by the government for component production. Collaborating with China is projected to aid in the mass production of expensive goods, including printed circuit boards (PCBs), display modules, camera sub-assemblies, and batteries within India.