Synopsis: Following the Budget’s Rs. 40,000 crore boost to the Electronics Manufacturing Scheme, India aims to strengthen semiconductor production, supply chains, and skilled workforce development, with EMS stocks like Dixon, Syrma, Kaynes, and others in focus.
The Union Budget 2026 has given a major push to India’s electronics and semiconductor sector, with a significant increase in government funding and focus on domestic manufacturing.
News
Nirmala Sitharaman, the Union Finance Minister of India has declared a historic increase in funds for the Electronics Manufacturing Scheme (EMS) by increasing it from Rs. 22,990 crores to Rs. 40,000 crores, which will be aimed at supporting India’s electronics and semiconductor sector to establish India as a global electronics manufacturing hub through domestic production and manufacturing.
Under the new Electronics Manufacturing Scheme (EMS), India’s Semiconductor Mission (ISM) 2.0 which will focus on manufacturing critical equipment and materials, designing a full-stack Indian intellectual property (IP) as well as building strong supply chains. This initiative will increase India’s independence and self-reliance in the development and manufacturing of semiconductor technology and reduce India’s reliance on foreign manufacturers for its semiconductor requirements.
The Finance Minister also stated that the establishment of industry-led research and training centres is necessary to develop new technologies and a skilled workforce in order to create a supportive ecosystem that will fuel innovation, enable growth in manufacturing, and keep India competitive in the quickly expanding global electronics marketplace. Stocks that could benefit
Dixon Technologies (India) Ltd
One of India’s largest EMS companies, Dixon manufactures mobile phones, consumer electronics, appliances, and lighting products for domestic and global brands, and is expanding into high-value segments like display and camera modules.
Amber Enterprises India Ltd
A leading OEM/ODM provider in HVAC products, Amber also focuses on electronics manufacturing and PCB assembly, serving diverse sectors including automotive, industrial, and consumer electronics.
Syrma SGS Technology Ltd
Specialises in PCB assembly, box build, and high-complexity electronics for industrial, automotive, and consumer markets, with recent expansions into defence and advanced electronics manufacturing.
Kaynes Technology India Ltd
Provides integrated electronics manufacturing and design solutions, including PCBs, connectors, and IoT-enabled products, catering to automotive, aerospace, industrial, and IT sectors.
PG Electroplast Ltd
Offers OEM/ODM manufacturing of consumer electronics and appliances such as air conditioners, washing machines, and LED TVs, along with plastic injection moulding and assembly services for multiple brands.
Avalon Technologies Ltd
Provides end-to-end EMS solutions including PCB assembly, system integration, and box builds, serving industrial, aerospace, defence, medical, and telecom sectors.
Aimtron Electronics Ltd
Specialises in electronics system design and manufacturing, offering PCB assembly and turnkey solutions for industrial automation, EVs, IoT, and medtech.
Centum Electronics Ltd
Develops advanced electronic subsystems and mission-critical products for defence, space, communications, automotive, and industrial markets, with a strong presence in India and abroad. The following EMS stocks are in focus after the Budget announcement, along with their recent share movements.
| Stocks | Share movement |
|---|---|
| Dixon Technologies (India) Ltd | 5.50% |
| Amber Enterprises India Ltd | 6% |
| Syrma SGS Technology Ltd | 6.50% |
| Kaynes Technology India Ltd | 5% |
| Avalon Technologies Ltd | 4% |
| Aimtron Electronics Ltd | 5% |
| Centum Electronics Ltd | 3% |
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