India’s manufacturing sector is witnessing an unprecedented wave of expansion, driven by strong government incentives, rising domestic demand, and a strategic push for global supply chain diversification. Programs like Make in India and the Production-Linked Incentive (PLI) schemes are spurring large-scale investments across semiconductors, electronics, automotive, renewable energy, and digital infrastructure.
The result? A surge in industrial activity and job creation across various skill levels—ranging from high-tech engineering roles to shopfloor and logistics jobs. Here’s a sector-wise look at some of the key developments shaping this transformation:
Semiconductors & Electronics: India’s Tech Backbone Takes Shape
Sixth Semiconductor Fab Approved (May 2025)
As part of the India Semiconductor Mission, the government approved a joint venture between HCL and Foxconn to establish a new chip manufacturing facility. This follows five other fabs currently under construction. Collectively, these projects are projected to generate 25,000 direct jobs and 60,000 indirect jobs in the semiconductor ecosystem.
Tata Electronics’ Dual Projects (Feb 2024)
- Semiconductor Fab (₹91,526 Cr investment): In partnership with Taiwan’s PSMC, this facility targets a capacity of 50,000 wafer starts/month (WSPM).
- OSAT Facility (₹27,120 Cr): Designed for 48 million units/day in chip assembly and testing.
Together, these projects are expected to significantly boost high-tech employment and contribute to the target of 1 million semiconductor jobs by 2026.
CG Power & Kaynes Technology OSAT Projects
- CG Power (₹7,584 Cr): JV with Renesas (USA) and STARS (Thailand), with a capacity of 15.07 million units/day.
- Kaynes Technology (₹3,307 Cr): Sanand-based OSAT facility producing 6.33 million chips/day.
Mobile Phone Manufacturing Surge (March 2025)
India has become the second-largest mobile phone producer globally, with over 300 manufacturing units (up from just 2 in 2014). Domestic production now accounts for 99.2% of mobile phones sold, creating over 1.28 lakh direct jobs and attracting ₹10,905 Cr in investments under the PLI scheme.
Automotive & EVs: Speeding Toward the Future
Honda Motorcycle Expansion (May 2025)
Honda Motorcycle & Scooter India is adding a 650,000-unit/year capacity line at its Vithalapur plant in Gujarat. When operational in 2027, this will be Honda’s largest motorcycle plant globally, contributing to India’s auto industry, which already supports over 30 million jobs (direct + indirect).
MATTER’s Electric Motorbike Plant (April 2025)
MATTER inaugurated India’s first geared electric motorbike plant in Ahmedabad with a capacity of 1.2 lakh units annually, boosting local EV manufacturing and green employment.
Heavy Industries, Energy & Infrastructure
Nidec’s Manufacturing Campus, Karnataka (June 2025)
Global electric motor giant Nidec launched its 50-acre Orchard Hub in Hubli-Dharwad to manufacture generators, wind turbine components, and EV motors. With an investment of US$55 million, it’s poised to become a major employment hub for engineering and production talent.
New Thermal Power Plant, Haryana (March 2025)
An 800 MW unit worth ₹7,272 Cr will be set up at the Deenbandhu Chhotu Ram Thermal Power Plant in Yamunanagar. Such large-scale infrastructure projects offer extensive opportunities in civil, mechanical, and operational roles.
Cement Sector Growth (Jan 2025)
- Ambuja & ACC Cement (₹7,205 Cr): Adding 21.5 million TPA capacity.
- India Cement (₹550 Cr): Plans to add 5 million TPA.
The cement industry, a major employment generator in mining, logistics, and construction, is set to benefit from this renewed momentum.
Steel Sector Investments (Jan 2025)
Visvesvaraya Iron & Steel and SAIL have committed ₹21,000 Cr to expand capacity, fueling demand for metallurgists, equipment operators, and skilled technicians.
Vardhaan Lithium’s Battery Refinery (Jan 2025)
A major ₹42,535 Cr project in lithium refining and battery production will boost employment in chemical engineering and advanced materials.
JSW & Sangam Solar Projects (Jan 2025)
- JSW Solar Ingots (₹10,100 Cr)
- Sangam Solar One (₹8,000 Cr)
Both projects will drive job growth in green tech manufacturing, installation, and maintenance.
Digital Infrastructure & Data Centers
Amazon Cloud Expansion in Maharashtra (July 2025)
Amazon Web Services (AWS) committed $8.2 billion in new investments to support India’s growing AI and cloud computing demand. Data center projects like these fuel jobs in IT, network operations, and cyber security.
India’s Data Centre Capacity to Triple by 2030 (July 2025)
A recent report estimates India’s data center capacity to grow from 1.1 GW (2024) to 3 GW by 2030. Annual investments of $1–1.5 billion are expected to double, creating new roles in AI, cloud infrastructure, and digital services.
Looking Ahead: Employment, Growth & Global Competitiveness
These expansive developments across sectors underscore India’s rising stature as a global manufacturing hub. According to government estimates, the cumulative impact of PLI schemes and large-scale industrial projects has already created 9.5 lakh jobs (as of August 2024), with projections crossing 12 lakh jobs in the near future.
From semiconductors to solar panels, and EVs to data centers, the next wave of India’s industrial growth is not just about capacity—it’s about economic resilience, digital transformation, and inclusive job creation across every corner of the country.
