Tamil Nadu's recent achievements in the electronics sector and future plans in the sector

Tamil Nadu's achievements electronics plans

Tamil Nadu has recently made significant strides in the electronics sector, positioning itself as a key player in India's technological advancement.

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Recent Achievements:

Ø  Policy Initiatives: In January 2024, during the Tamil Nadu Global Investors Meet (GIM 2024), the state unveiled the Semiconductor and Advanced Electronics Policy 2024. This initiative aims to attract investments in semiconductor and advanced electronics manufacturing, fostering a robust ecosystem for innovation and production.

Ø  Investment Inflows: Leading companies have committed substantial investments in Tamil Nadu's electronics sector. Notably, Tata Electronics plans to invest ₹12,082 crore to expand its facility in Krishnagiri, and Pegatron has committed ₹1,000 crore for expansion in Chengalpattu. These investments are expected to create thousands of employment opportunities and bolster the state's manufacturing capabilities.

Ø  Electronics Exports Growth: The state's electronics exports reached $7.37 billion between April 2023 and January 2024, accounting for 32.5% of India's total electronics exports during that period. This marks a 37% increase compared to the previous financial year, underscoring Tamil Nadu's growing prominence in the electronics export landscape.

Ø  Apple's Manufacturing Shift: Apple has been progressively shifting its manufacturing operations to Tamil Nadu. Collaborations with suppliers like Foxconn and Tata Electronics have led to increased iPhone production in the state. Currently, 15% of iPhones are produced in India, with expectations to rise to 25% by 2027.

Ø  Strategic Acquisitions: In January 2025, Tata Electronics acquired a 60% stake in Pegatron Technology India, which manages an iPhone manufacturing plant near Chennai. This move strengthens Tata's position as a key supplier for Apple and underscores Tamil Nadu's growing significance in the global electronics supply chain.

Ø  Enhanced Manufacturing Capabilities: Apple's suppliers, including Foxconn and Tata Electronics, have expanded their production capacities in Tamil Nadu. Notably, the iPhone 16 Pro is now being manufactured in the state, reflecting Apple's strategy to diversify its supply chain and reduce reliance on China.

Future Plans:

v  Economic Vision 2030: Tamil Nadu aims to become a $1 trillion economy by 2030. The state's vision document outlines strategies to achieve this goal, emphasizing inclusive growth and the development of various sectors, including electronics. Tamil Nadu aims to increase its electronics output to $100 billion, a significant leap from the current $12 billion. This goal aligns with India's broader objective to elevate electronics production and generate substantial employment opportunities within the industry.

v  Skilled Workforce Development: The Semiconductor and Advanced Electronics Policy 2024 aims to create a skilled talent pool of 200,000 individuals by 2030, ensuring that the state's workforce is equipped to meet the evolving demands of the electronics industry.

v  Infrastructure Expansion: The state is focusing on enhancing infrastructure to support the electronics sector. For instance, Tata Power has established a 4.3 GW solar module and cell manufacturing plant in Tamil Nadu, emphasizing the state's commitment to renewable energy and sustainable industrial growth.

v  Ambitious Growth Targets: The state aims to increase its electronics output to $100 billion, a substantial rise from the current $12 billion. This goal aligns with India's broader objective to elevate electronics production from $37 billion in 2015-16 to over $115 billion in 2023-24, generating nearly 2 million jobs in the industry

v  Policy Initiatives: The state has introduced the Electronics Hardware Manufacturing Policy, targeting a $100 billion output by 2025. This policy seeks to contribute 25% of India's total electronic exports and includes plans to provide skill training for over 100,000 individuals by 2024 to meet the industry's human resource requirements. 

Through these initiatives and achievements, Tamil Nadu is solidifying its position as a leading hub for electronics manufacturing and exports in India.