With ₹163 billion in orders and 23% annual growth, India’s EMS sector is expanding fast, driven by exports, EV demand, and government-backed manufacturing incentives.
India’s Electronics Manufacturing Services (EMS) sector recorded a 23% rise in cumulative order bookings (excluding Dixon and Amber) in FY25, reaching ₹163 billion, according to a recent report by Motilal Oswal.
The sector’s expansion is being driven by a shift toward high-value verticals such as aerospace, automotive, industrial electronics, and critical infrastructure. Furthermore, the report highlighted that firms are increasingly winning contracts with better margins and converting pilot projects into full-scale production orders, signalling stronger execution capabilities.
The report also stated that companies like Avalon Technologies and Kaynes Technologies are leading the charge. Avalon expects revenue to grow by up to 20% in FY26, backed by new client wins, collaborations, and increased activity in clean energy and mobility. Kaynes targets ₹45 billion in FY26 revenues, supported by overseas expansion and upcoming commercial operations in new facilities.
Meanwhile, domestic demand is climbing, driven by investments in EVs, surveillance, AI, and rising incomes. Low electronics penetration and urban infrastructure growth are adding to the momentum.
Government schemes like PLI and ECMS are attracting global and local players, especially in semiconductors and display tech, strengthening the manufacturing base.
EMS firms are scaling up rapidly with new plants, export hubs, and advanced units for OSAT and HDI PCBs, boosting their global reach across Europe, the Gulf, and North America.
