Motherson Subsidiary Secures PLI Incentives to Expand Electronics Components Manufacturing

Samvardhana Motherson International Limited’s unit, Motherson Electronic Components Pvt Ltd (MECPL), has successfully secured incentives under the Indian government’s Production Linked Incentive (PLI) scheme aimed at boosting domestic electronics manufacturing. The development is part of a broader national effort to strengthen the electronics supply chain and reduce reliance on imports.

The incentives have been granted under the Electronics Components Manufacturing Scheme (ECMS), administered by the Ministry of Electronics and Information Technology (MeitY). MECPL’s inclusion as a beneficiary allows it to receive support over a six-year period, from fiscal year 2026 to 2031, as part of its expansion plans in the electronics components sector.

Under this approval, Motherson’s subsidiary plans a cumulative investment of approximately ₹1,900 crore at its manufacturing facility in Kanchipuram, Tamil Nadu. The investment is expected to not only enhance production capacities for consumer electronics enclosures but also generate significant employment opportunities. According to company statements, the initiative could create over 5,000 jobs during the incentive period, contributing to local economic growth.

The move underscores Motherson’s strategic diversification from its core auto components business into the electronics manufacturing domain. By tapping into the PLI scheme, the company is positioning itself to play a more substantial role in India’s expanding electronics ecosystem, which has seen a surge in both domestic and global investment interest.

MECPL’s approval comes alongside a fresh round of PLI and ECMS clearances for other major firms under the government’s electronics push, which includes projects expected to attract tens of thousands of crores in investment and support wide-ranging component manufacturing. This broader policy drive aims to scale up local production of critical electronics items, deepen value addition, and support the nation’s goal of becoming a global manufacturing hub.

Industry experts say such incentives not only strengthen internal supply chains but also enhance India’s competitiveness in the global electronics market, where demand for components continues to grow rapidly.