Business News | US Tariffs Unlikely to Significantly Impact India's Major Electronics Exports: MeitY Secretary
Get latest articles and stories on Business at LatestLY. India's major electronics exports are unlikely to witness any significant impact from the latest US tariff measures as electronics and semiconductor-related shipments continue to remain largely exempt from the levy, Secretary, Ministry of Electronics and Information Technology (MeitY), S. Krishnan, told ANI in an exclusive interview.
New Delhi [India], July 28 (ANI): India's major electronics exports are unlikely to witness any significant impact from the latest US tariff measures as electronics and semiconductor-related shipments continue to remain largely exempt from the levy, Secretary, Ministry of Electronics and Information Technology (MeitY), S. Krishnan, told ANI in an exclusive interview on Tuesday.
Krishnan said while some smaller product categories that do not contain semiconductors and are outside the exemption framework could see an impact, the country's key electronics exports are expected to remain largely insulated.
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"We do not see too much of an impact on electronics exports, electronics and semiconductor-related exports except some will continue to stay exempted from this particular levy. Therefore, I think there will not be too much of an impact on the major electronics exports from India," he said.
He, however, added that some niche product categories could face headwinds.
"It could affect some of the smaller exports and some of the less key elements which don't contain semiconductors and are not covered under the exemption clause," Krishnan said.
As per the govt data, India's electronics exports surged to Rs 4.24 lakh crore (USD 47.96 billion) in FY 2025-26, marking an eleven-fold increase from Rs 38,263 crore in 2014-15. Electronic goods are now India's third-largest export category.
To further deepen the value chain, the Government has also launched the Electronics Components Manufacturing Scheme (ECMS) in 2025. The scheme focuses on promoting domestic manufacturing of Printed Circuit Board, electrical and mechanical components, camera modules, etc. Against the estimated investment proposals of Rs 59,350 crore, the government has received investment proposals of Rs 1.15 lakh crore.
On India's semiconductor ambitions, the MeitY Secretary said the upcoming Semicon 3.0 event will showcase the country's growing semiconductor ecosystem across the entire value chain, from manufacturing to end-use applications.
"The important thing in Semicon 3.0... will be that you will see the entire value chain displayed in the way semiconductors are made all the way down to how they are used," he said, adding that the event is expected to witness strong participation from global companies.
Krishnan said the government's recently announced India Semiconductor Mission (ISM) Phase 2 has generated considerable industry interest and expressed confidence that the event would see participation from major global semiconductor firms along with significant investment announcements.
Highlighting the evolution of the government's semiconductor policy, Krishnan said Semicon 2.0 marks a shift from focusing only on chip fabrication to building a complete semiconductor ecosystem.
"Semicon 1 was basically focussed on manufacturing of chips. In Semicon 2.0, we are going beyond those companies to take a complete ecosystem approach so that the equipment used to manufacture semiconductors, the materials, the gases, the chemicals... and likewise the design system is also given greater emphasis," he said.
He added that the revised policy also modifies funding and support mechanisms to encourage greater investments in segments where additional capacity is needed. (ANI)
(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)