India’s electronics sector is outpacing the world in a big way. According to the NITI Aayog’s latest ‘Trade Watch Quarterly’ report for July-September 2025-26, India’s share in global electronics demand skyrocketed from 2015 to 2024 at a blistering 17.2% compound annual growth rate (CAGR). That’s miles ahead of the global average of just 4.4%.
The star performer? Mobile phone exports. They fueled this boom, pushing India’s total electronics exports nearly fivefold to $42.1 billion between 2016 and 2024. Globally, electronics trade clocks in at a massive $4.6 trillion, making it a powerhouse sector. India has carved out a strong niche in mobile phones, consumer electronics, and telecom gear, shipping to key markets like the US, UK, and UAE.
Electronics now ranks as India’s second-largest export category. It’s not just tech—it’s the backbone for automobiles, renewables, telecom, defense, and digital services, driving economic momentum.
But India isn’t stopping at assembly. The report highlights a shift toward manufacturing components and adding higher value. The central budget allocates ₹40,000 crore for electronics component manufacturing to support this.
To deepen global supply chain integration, India must ramp up in circuit board design, semiconductor assembly, power electronics, and embedded systems. Better logistics, tax reforms, and skill development will supercharge the sector.
NITI Aayog Vice Chairman Suman Berry emphasized electronics as the linchpin of modern manufacturing. Paired with semiconductors, it balances trade and boosts self-reliance. India excels in final assembly, but sustaining competitiveness demands tackling production costs, building a domestic components ecosystem, and attracting big investments to embed Indian firms in global chains.
Despite a global trade slowdown, India’s services exports shine. Q2 FY 2025-26 saw merchandise exports rise 8.5%, outpacing imports. Trade among developing nations has quadrupled since 2005, with India strengthening ties in the Global South.
E-commerce is another booster. India ranks among the top six global markets, where electronics claim nearly half of online retail sales.