In Short:
India aims to establish a strong and reliable electronics manufacturing supply chain in collaboration with the United States, according to S Krishnan from MeitY. He highlighted the importance of India claiming a significant share in the growing global electronics market for both resilience and integration into global value chains. The Indo-US Task Force for Electronics is working on regulatory harmonization and partnership development. Pankaj Mohindroo emphasized the necessity of integrating Global Value Chains to enhance India’s manufacturing capabilities. Overall, there’s a strategic opportunity for both nations to deepen their relationship in the electronics sector and tackle challenges together.
India Aims for a Trusted Electronics Supply Chain with the US
In a significant move towards bolstering the electronics manufacturing landscape, India is looking to forge a reliable and resilient supply chain, partnering up with none other than the United States. This initiative has been highlighted by S Krishnan, the Secretary of the Ministry of Electronics and IT (MeitY).
Seizing Global Opportunities
During his recent statements, Krishnan emphasized, “Electronics is on track to become the largest single manufacturing sector globally, and it’s essential that India captures a significant slice of this market. We’re not just focusing on a robust supply chain; we also want to be a key player in global value chains.”
In his vision, building these supply chains on a foundation of mutual trust is paramount, and he insisted that the partnership with the U.S. is crucial to reaching these goals. As noted in a release by the India Cellular and Electronics Association (ICEA), American enterprises have played a pivotal role in turning India into a global hub for electronics manufacturing.
Celebrating Successes
Krishnan pointed out that India’s growth in smartphone exports serves as a testament to this success story. He expressed confidence that with strategic collaborations and a commitment to consistent policies, India is ready to tackle any challenges while making the most of the opportunities that lie ahead.
Indo-US Task Force Roundtable
His remarks came during the second roundtable meeting of the Indo-US Task Force for Electronics, hosted by the ICEA. This gathering, which included luminaries from the electronics and handset sectors, seeks to identify strategies for regulatory harmonization, building trusted partnerships, and integrating into global supply chains.
Chaired by R.S. Sharma, the chairperson of the Open Network for Digital Commerce (ONDC) and former chairman of the Telecom Regulatory Authority of India (TRAI), the task force also sees Virat Bhatia, Managing Director of Apple India, serving as co-chair.
Key Takeaways from the Task Force
During the discussions, Pankaj Mohindroo, Chairman of ICEA, underscored the importance of integrating Global Value Chains (GVCs) into India’s electronics manufacturing strategy, stating, “To meet our ambitious targets, we need to integrate GVCs on a large scale. The electronics sector is fundamentally global, with 95% of its activity linked to these chains.”
Mohindroo expressed optimism about India’s capacity to emerge as a key player in the global ecosystem. “Our expanding partnership with the U.S., alongside India’s initiatives in sectors like electronics and solar, will bolster our position as a reliable global partner,” he added.
Building Stronger Relationships
Sharma also shared insights into the shifting global dynamics, presenting a strategic opportunity for both India and the U.S. He remarked, “Electronics presents a promising sector where we can deepen our collaboration. Together, we can navigate policy challenges, integrate our industries, and create resilient supply chains.”
