India’s electronics manufacturing services (EMS) market is projected to surpass $150 billion by FY30, marking a significant growth trajectory, according to a report. The EMS market in India has shown rapid expansion, escalating from around $10–12 billion in FY20 to $40–45 billion in FY25. This growth has been attributed to factors such as domestic demand, policy support, and the adoption of China+1 strategies.
The report highlighted that the sector is currently facing a challenge known as the “scale without depth” paradox, which hinders the capture of value. Despite India’s strong presence in high-volume assembly, particularly in mobile and consumer electronics, it lacks depth in areas like design, components, and intellectual property ownership.
With the global EMS market estimated at $640–650 billion in 2025 and potentially exceeding $1 trillion by the early 2030s, India’s current share stands at approximately 5–6 percent. This indicates significant room for expansion in the country’s EMS manufacturing sector. Analysts emphasized the need for India to enhance value creation by focusing on deeper integration, transitioning from assembly to design-led and system-level capabilities.
The report also pointed out persistent structural challenges, including high import dependency ranging from 80–95 percent on critical components, which restrict domestic value addition and margins. To address these issues, sustained investment in component ecosystems, engineering depth, and supply chain sophistication is crucial for India to enhance its participation in global electronics manufacturing.
