New Delhi | February 27,2026 |SKY LINK TIMES
India-Israel to Boost 500B Dollar Electronics Goal:
India’s ambition to build a $500 billion electronics manufacturing economy by 2030–31 received a major boost this week as India and Israel strengthened their technology and innovation partnership. Industry leaders believe the collaboration could significantly accelerate India’s journey toward becoming a global deep-tech manufacturing hub.
The high-level engagements between the two countries resulted in the signing and announcement of 17 bilateral agreements, Memorandums of Understanding (MoUs), and declarations across sectors including manufacturing, Artificial Intelligence (AI), cybersecurity, digital payments, space, agriculture, education and defence.
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17 Agreements Strengthen Strategic Tech Ties
The partnership has been elevated to a Special Strategic Partnership, providing a strong institutional foundation for deeper collaboration in critical and emerging technologies.
According to Pankaj Mohindroo, Chairman of the India Cellular and Electronics Association (ICEA), India and Israel are “natural partners.”
“Israel’s world-class capabilities in AI, semiconductors and deep technology complement India’s manufacturing scale and industrial ambition,” he said.
Israel’s Strengths Complement India’s Manufacturing Scale
Israel is globally recognised for its leadership in:
• Artificial Intelligence
• Semiconductor design
• Embedded systems
• Cybersecurity
• Advanced defence technologies
Meanwhile, India has emerged as the world’s second-largest mobile phone manufacturer, with electronics production growing from $31.4 billion in 2014 to over $133 billion in 2024–25.
Government policy initiatives such as the Production-Linked Incentive (PLI) schemes and the Electronics Component Manufacturing Scheme (ECMS) have played a key role in building manufacturing capacity, attracting global investments, and strengthening supply chains.
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New Frameworks to Accelerate R&D and Manufacturing
The newly announced cooperation frameworks include:
• Collaboration in Critical and Emerging Technologies
• The Tech-Gateway Initiative
• Joint work in Artificial Intelligence
These initiatives are expected to create structured pathways for joint research and development (R&D), semiconductor design partnerships, technology validation and large-scale manufacturing.
Industry experts believe this institutional architecture will enable India to transition from being primarily a manufacturing destination to becoming a design-led, deep-tech innovation powerhouse.
A Major Step Toward the $500 Billion Target
India has set an ambitious target of building a $500 billion electronics manufacturing ecosystem by 2030–31. With Israel’s expertise in semiconductor design, AI, and cybersecurity aligning with India’s large-scale manufacturing capabilities, the partnership is seen as strategically crucial.
Experts suggest that deeper collaboration in semiconductors and advanced electronics could help India strengthen supply chain resilience, boost exports, and enhance its global competitiveness in high-value technology sectors.
The India-Israel technology alliance is thus being viewed not just as a diplomatic milestone, but as a potential catalyst for India’s long-term electronics manufacturing ambitions.
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