India’s electronics sector just hit a milestone. Apple’s vendors in India exported a record $2.5 billion worth of components to China in FY26 so far. This reverses old trade flows, where China supplied parts to India. Now, India ships key items like printed circuit board assemblies (PCBAs), mechanical parts, housings, and flex PCBAs. The surge comes from government schemes. The Electronics Component Manufacturing Scheme (ECMS), launched last year, and Production-Linked Incentive (PLI) drive this growth. Vendors like Foxconn, Tata Electronics, Pegatron (Tata-owned), Motherson Group, Salcomp, and Yuzhan Technology lead the effort. Exports picked up after April 2025 under three HSN codes.
This builds on Apple’s India success. Over five years, Apple made iPhones worth $70 billion here, exporting $51 billion, mostly to the US. India now eyes $3.5 billion electronics exports to China this FY, up from $14.25 billion total last year. Overall exports to China could top $18 billion.
For India, it’s a win. Jobs grow, local value addition rises, and supply chains diversify from China. Apple broadens beyond iPhones, eyeing AirPods and MacBooks. NITI Aayog targets a $300 billion electronics industry by 2026. This shift boosts “Make in India,” creating skilled roles in states like Tamil Nadu and Karnataka. Challenges like high costs linger, but incentives help. As China focuses on assembly, India becomes a hub for quality components.
FAQs [Frequently Asked Questions]
1. What components did India export?
PCBAs, mechanical parts, housings, flex PCBAs, and graphite buttons to China, worth $2.5 billion in FY26.
2. Which schemes boosted this?
ECMS and PLI schemes offer incentives, reversing China-to-India part flows since 2025.
3. Who are key vendors?
Foxconn, Tata Electronics, Pegatron, Motherson, Salcomp, and Yuzhan ship Apple’s parts from India.