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The Union Cabinet chaired by Prime Minister Narendra Modi approved on 5 May 2026 two new semiconductor manufacturing units under the India Semiconductor Mission (ISM) Phase 1: Crystal Matrix Limited (CML) — India's first GaN-based compound-semiconductor and Mini/Micro-LED display fabrication facility (INR 3,068 crore, Dholera, Gujarat) and Suchi Semicon Private Limited (SSPL) — an OSAT facility for discrete semiconductors (INR 868 crore, Surat, Gujarat). Cumulative investment INR 3,936 crore (~USD 400mn); 2,230 skilled jobs at full ramp. This constitutes the 12th and final batch of ISM Phase 1 approvals, closing the first-phase envelope before ISM 2.0 (filed 2026-02-01) takes over.

On 9 April 2026 the Government of India, exercising powers under section 4(1) of the Special Economic Zones Act 2005, gazetted a 66.166-hectare sector-specific Special Economic Zone at Dholera Special Investment Region, Gujarat for Tata Semiconductor Manufacturing Pvt. Ltd, exclusively for electronic hardware, software and IT/ITES. The notification is the statutory site- enabling instrument for India's first commercial-scale wafer-fab plant — a ~INR 91,000 crore (~USD 11bn) Tata Electronics / PSMC (Powerchip, Taiwan) joint project announced under India Semiconductor Mission (ISM) 1.0 in February 2024 — and follows the Letter of Approval issued on 17 March 2026. The same notification designates the SEZ as an Inland Container Depot under the Customs Act 1962 with effect from 9 April 2026, enabling on-site customs clearance for fab inputs.

India's Department for Promotion of Industry and Internal Trade (DPIIT) issued Press Note 2 of 2026 on March 15, 2026 (following Cabinet approval on March 10, 2026), recalibrating the Press Note 3 (2020) FDI framework for investments from countries sharing a land border with India. Global investors with up to 10% non-controlling Chinese (or other land-border) shareholding can now invest in India under the automatic route across sectors, while entities domiciled in China, Hong Kong, Pakistan, Nepal, Bhutan, Bangladesh, Myanmar and Afghanistan continue to require prior government approval. For 40 designated strategic sub-sectors — including rare earth permanent magnets, polysilicon and ingot-wafer manufacturing, printed circuit boards, electronic capital goods, Li-ion batteries and machine tools — proposals will be decided within a binding 60-day window, with majority Indian ownership and control mandated at all times. Effective from the date of the corresponding amendment to the FEMA Non-Debt Instruments Rules.

As part of the Union Budget 2026-27 tabled on 1 February 2026, India's Ministry of Defence budgeted INR 1,540.05 crore (~USD 178.4 million) in FY2026-27 "Investment in Public Enterprises" equity capital for the seven defence public-sector undertakings created from the October 2021 corporatisation of the former Ordnance Factory Board: Munitions India Limited (INR 745.50 crore), Advanced Weapons and Equipment India Limited (INR 329.00 crore), Yantra India Limited (INR 228.00 crore), Armoured Vehicles Nigam Limited/AVANI (INR 219.05 crore), Troop Comforts Limited (INR 10.00 crore), India Optel Limited (INR 6.00 crore), and Gliders India Limited (INR 2.50 crore). The figures appear under Demand No. 21 (Capital Outlay on Defence Services) of the Notes on Demands for Grants, 2026-2027, published by the Ministry of Finance's Department of Economic Affairs.

The Rajasthan State Cabinet, chaired by Chief Minister Bhajan Lal Sharma, approved the Rajasthan Aerospace & Defence Policy 2026 on 21 January 2026 in the same session that cleared the Rajasthan Semiconductor Policy 2026. The policy positions Rajasthan as a manufacturing and MRO hub for aircraft, helicopters, drones, missiles, avionics, satellite buses, armoured vehicles, radars, defence electronics, and precision engineering, targeting OEMs, system integrators, MSMEs, and startups under the Make in India / Atmanirbhar Bharat defence-industrial pivot. Projects are tiered (large / mega / ultra-mega) with differentiated incentive menus including capital grants, tax reimbursements, and turnover-linked incentives aligned with national DPEPP and iDEX frameworks.

The Government of Rajasthan approved its first dedicated semiconductor industrial policy on 21 January 2026, offering a layered incentive stack on top of India's national Semiconductor Mission (ISM). The policy covers fab, ATMP, OSAT, compound semiconductors (SiC, GaN), display fabs, sensors, power electronics, PCBs, and fabless design, with investment-classification tiering (large / mega / ultra-mega categories). Key incentives include a 60% top-up on any ISM capital subsidy received, a 5% interest subsidy on term loans, 100% electricity duty exemption for seven years, 75% stamp duty and land conversion charges exemption, and SGST reimbursements. The official policy document was publicly released on 24 March 2026 via the Rising Rajasthan portal.

The Government of Maharashtra, Industries Department, notified the Maharashtra Industry, Investment, and Services Policy-2025 on 31 December 2025, valid for five years and superseding the prior Maharashtra Industrial Policy 2019. The umbrella state-level instrument supports Maharashtra's "trillion-dollar economy by 2030" and "Developed Maharashtra 2047" vision with targets of ₹70.5 lakh crore (~USD 850 bn) cumulative investment, 50 lakh (5 million) jobs across manufacturing and services, and expansion of industry's share of Gross State Value Added to 30%. It is Maharashtra's first-ever combined industry + services + investment-promotion framework (prior policies were industry-only), establishes the unified "Invest Maharashtra" platform and revamped MAITRI 2.0 portal (125+ services, AI investor support, blockchain document verification), and empowers a Cabinet Sub-Committee under the Chief Minister to sanction bespoke customised-package incentives for Mega and Ultra-Mega Projects above the ₹500 crore threshold.

India's Union Cabinet, chaired by PM Narendra Modi, approved a ₹25,000 crore ($3bn) Maritime Development Fund (MDF) on 24 September 2025 as part of the broader ₹69,725 crore shipbuilding and maritime package. The MDF comprises a ₹20,000 crore Maritime Investment Fund (MIF) — a blended-finance Category-I Alternative Investment Fund with the Government of India contributing up to 49% of capital at concessional rates and the remaining 51% raised from ports and private/commercial investors — and a ₹5,000 crore Interest Incentivization Fund (IIF) that subsidises loan interest costs for shipyards and shipowners to lower the effective cost of debt. The fund is designed to run through FY 2026-36 and is projected to catalyse up to ₹1.5 lakh crore (~$18bn) in maritime-sector investment by 2030, covering shipbuilding, ship repair, ports, inland waterways, coastal shipping and tonnage-capacity expansion.

The Yogi Adityanath cabinet approved the Uttar Pradesh Electronics Component Manufacturing Policy 2025 (UP ECMP-2025) on 3 September 2025, designating an effective date retroactive to 1 April 2025 for a six-year policy horizon (sunset 31 March 2031). Administered by UPLC and Invest UP, the policy targets INR 5,000 crore in new investment by layering state-level incentives on top of the central MeitY Electronics Component Manufacturing Scheme (ECMS), covering eleven priority component categories including displays, camera modules, multilayer PCBs, magnetics, lithium-ion cells, capacitors, resistors, semiconductor packaging substrates, sensors, connectors, and oscillators. UP is the fourth major Indian state (after Gujarat, Tamil Nadu, and Andhra Pradesh) to publish a dedicated ECMS-stacking instrument, completing the Big-Four-state cluster for ECMS-anchored greenfield investment.

India's Cabinet Committee on Economic Affairs approved an INR 8,146.21 crore (~USD 980 million) investment proposal for the 700 MW (4x175 MW) Tato-II Hydro Electric Project in Shi Yomi district, Arunachal Pradesh, to be built over 72 months by a joint venture between North Eastern Electric Power Corporation Ltd (NEEPCO) and the Government of Arunachal Pradesh. The Government of India component consists of INR 436.13 crore in central financial assistance toward the state's equity share plus INR 458.79 crore in budgetary support for enabling infrastructure (roads, bridges, transmission lines) — together INR 894.92 crore (~USD 108 million) of direct central subsidy. Arunachal Pradesh receives 12% free power and a 1% local-area-development-fund allocation from project output.

The Union Cabinet chaired by Prime Minister Narendra Modi approved on 12 August 2025 four new semiconductor manufacturing units under the India Semiconductor Mission (ISM) Phase 1: SiCSem Private Limited (Silicon Carbide compound-semiconductor fab, Odisha, with UK partner Clas-SiC Wafer Fab Ltd.), 3D Glass Solutions Inc. (advanced glass-substrate packaging, Odisha), Continental Device India Private Limited / CDIL (discrete power-semiconductor expansion, Punjab), and Advanced System in Package Technologies / ASIP (OSAT unit with South Korea's APACT Co. Ltd, Andhra Pradesh). Cumulative investment INR 4,600 crore (~USD 525mn); 2,034 skilled jobs at full ramp. This brought total approved ISM Phase 1 projects to 10 across 6 states, with cumulative committed investment of approximately INR 1.60 lakh crore (~USD 18bn).

The Government of Andhra Pradesh issued G.O.Ms.No.30 (ITE&C Promotion Wing, 1 August 2025) establishing the Electronics Components Manufacturing Policy 2025-30, a dedicated sub-national subsidy framework designed as a 100% matching top-up of the central MeitY Electronics Components Manufacturing Scheme (ECMS). The policy targets INR 4,600 crore (~USD 550 million) in state fiscal outlay against a USD 50 billion production target and USD 10 billion investment target, with a goal of 5 lakh (500,000) first-time jobs over the policy period. Priority components span 11 categories including displays, camera modules, multilayer PCBs, lithium-ion cells, magnetics, capacitors, and resistors, channelled into dedicated electronics zones at Sri City, Hindupur, Orvakal, and Kopparthy.

On 1 July 2025 India's Union Cabinet approved the Research Development and Innovation (RDI) Scheme, a six-year, ₹1,00,000 crore (≈USD 11.68 bn) fund to catalyse private-sector investment in research, development and innovation, with ₹20,000 crore allocated for FY2025-26. The scheme finances transformative RDI projects (TRL 4 and above) in strategic and sunrise sectors — deep tech, AI, biotechnology, quantum computing, robotics, space, energy transition and the digital economy — through long-tenor, low-or-nil-interest loans and equity, up to 50% of assessed project cost. Grants and short-term loans are explicitly excluded. Funds flow through a Special Purpose Fund under ANRF (first-level) to second-level fund managers — Alternate Investment Funds, Development Finance Institutions, NBFCs, and focused research bodies including the Technology Development Board (TDB) and BIRAC — which began issuing project calls in February 2026.

Gujarat Chief Minister Bhupendra Patel announced the Gujarat Electronics Component Manufacturing Policy 2025 (GECMP-2025) on 22 June 2025, making Gujarat the first Indian state with a dedicated sectoral stack-on-top instrument to the central Electronics Components Manufacturing Scheme (ECMS) notified by MeitY on 28 March 2025. Under GECMP-2025, any project approved by MeitY under ECMS and physically located in Gujarat is eligible for a state-matched fiscal incentive equal to the central incentive (PLI / capex subsidy) disbursed under ECMS, released by the state within 30 days of the central tranche. The policy targets INR 35,000 cr in new investment and covers multi-layer / HDI printed circuit boards, lithium-ion cells, SMD passive components, display modules, camera modules, sub-assemblies and the capital machinery required for their production. A separate R&D track provides up to INR 12.5 cr per Gujarat-based recognised institution to establish Centres of Excellence, Finishing Schools or Applied Research Laboratories. Initial applications closed 31 July 2025.

The Government of Maharashtra, Transport Department, notified the Maharashtra Electric Vehicle Policy 2025 on 23 May 2025 (Government Resolution No. 202505231834008229) after Cabinet approval on 28 April 2025, with retroactive effect from 1 April 2025 through 31 March 2030. The five-year policy carries an INR 1,993 crore (~USD 235 mn) headline outlay — comprising approximately INR 1,740 crore in purchase incentives, INR 100 crore in charging-infrastructure viability gap funding, and balance allocations for manufacturing incentives, R&D, skilling, and scrappage support — representing a 114% increase over the INR 930 crore outlay of the prior 2021–2025 policy. Targets include ~30% of all new vehicle registrations in Maharashtra to be electric by 2030, a charging station every 25 km on state and national highways, and a 10% base-price subsidy on electric two- and three-wheelers, private and public buses, and passenger vehicles (with an additional 5% top-up for goods-carrying 3W/4W, agricultural tractors, and combine harvesters). The instrument is sectoral and EV-only — distinct from the umbrella Maharashtra Industry, Investment & Services Policy 2025 (filed separately).

The Union Cabinet, chaired by Prime Minister Narendra Modi, approved the establishment of a sixth semiconductor unit under the India Semiconductor Mission (ISM) on 14 May 2025. The unit is a joint venture between HCL and Foxconn (Hon Hai) and will build an Outsourced Semiconductor Assembly and Test (OSAT) plant near Jewar airport in the Yamuna Expressway Industrial Development Authority (YEIDA) area of Uttar Pradesh, manufacturing display driver chips for mobile phones, laptops, automobiles, PCs and other display-equipped devices. The approved investment is INR 3,700 crore (~USD 435 million), with designed capacity of 20,000 wafers per month and output of 36 million units per month.

Tamil Nadu Chief Minister M K Stalin launched the Tamil Nadu Electronics Components Manufacturing Scheme (TN-ECMS) on 30 April 2025, making Tamil Nadu the first Indian state to introduce a dedicated state-level electronics components manufacturing subsidy designed to stack on top of the central Electronics Components Manufacturing Scheme (ECMS, notified April 2025). The scheme targets ₹30,000 crore (~USD 3.6 bn) in investment and 60,000 jobs over three to five years, supporting 11 high-growth component categories including HDI/MSAP printed circuit boards, lithium-ion cells, display assemblies, camera modules, SMD passive components, multilayer ceramic capacitors, copper-clad laminates, and capital goods for electronics manufacturing. Investment thresholds are ₹50 crore for basic components and up to ₹250 crore for complex sub-assemblies; matching grants mirror the central ECMS subsidy structure with additional state concessions on stamp duty, land, and electricity costs plus workforce-development incentives.

The Tamil Nadu Cabinet, chaired by Chief Minister M.K. Stalin, cleared the Tamil Nadu Space Industrial Policy 2025 on 17 April 2025, with the policy text published by TIDCO in May 2025. The policy targets INR 10,000 crore (~USD 1.2bn) in space-sector investment over five years and 10,000 jobs, anchored around four designated Space Bays in Madurai, Thoothukudi, Tirunelveli, and Virudhunagar. Key instruments include a INR 500 crore Tamil Nadu Emerging Sector Seed Fund (TNESSF) for space-sector startups, payroll subsidies for R&D and Global Capability Centre operators, and a TIDCO–IN-SPACe MoU to coordinate manufacturing and research facilitation. The policy operationalises the Union Indian Space Policy 2023 (ISP-2023) at the state level and establishes Tamil Nadu as a third space-sector sub-national policy node alongside Karnataka and Gujarat.

The Union Cabinet approved the Electronics Components Manufacturing Scheme (ECMS) on 28 March 2025, notified by the Ministry of Electronics and Information Technology (MeitY) via Gazette Notification CG-DL-E-08042025-262341 on 8 April 2025. The scheme has an original outlay of Rs 22,919 crore (~USD 2.7bn) over six years (FY26-FY31, with an optional one-year gestation period), raised to Rs 40,000 crore in the Union Budget 2026-27. ECMS targets passive components, multi-layer PCBs, lithium-ion battery cells, camera modules, display assembly, electromechanicals, bare-component sub-assemblies and capital equipment for semiconductor and electronics manufacturing -- the ecosystem feeding the existing large-scale-electronics PLI and the India Semiconductor Mission. The scheme targets investment of Rs 59,350 crore, production of Rs 4,56,500 crore and 91,600 direct jobs.

The Government of Karnataka, Department of Industries and Commerce, notified the Karnataka Industrial Policy 2025-30 in the Karnataka Gazette on 11 February 2025, with the policy taking legal effect from 8 February 2025 and valid for five years (or until superseded). It supersedes the prior Karnataka Industrial Policy 2020-25. The umbrella state-level framework targets ₹7.5 lakh crore (~USD 90 bn) in fresh investment and 20 lakh (2 million) new jobs by 2030, positioning Karnataka as a top-Asia destination for high-technology manufacturing — semiconductors, EVs, aerospace, defence, biotech, medical devices, textiles and renewable energy. It introduces zone-based incentive categorisation (Zone 1/2/3 district classification), capital subsidies, stamp-duty exemption, electricity-tax exemption, interest subsidy, ESDM-specific top-up incentives that layer onto central PLI/ECMS/Semicon Mission schemes, and a Cabinet Sub-Committee under the Chief Minister to sanction bespoke "Anchor Investor" and "Mega/Ultra-Mega" customised incentive packages.

On 29 January 2025 the Union Cabinet of India approved the National Critical Mineral Mission (NCMM), a seven-year programme running FY2024-25 through FY2030-31 with a headline financial envelope of ₹34,300 crore (≈USD 4.0 bn). The structure is split: ₹16,300 crore of direct government outlay administered by the Ministry of Mines, plus an expected ₹18,000 crore of investment by central public-sector undertakings (PSUs) and other stakeholders. The mission was first announced by the Finance Minister in the Union Budget 2024-25 (23 July 2024) and the Cabinet approval gave it formal sanction. The NCMM covers the full critical-minerals value chain: domestic exploration, mining, beneficiation, processing, recycling from end-of-life products, and acquisition of overseas mineral assets. The Geological Survey of India (GSI) is tasked with executing 1,200 exploration projects over the seven-year window (vs. 368 projects over the prior three years), expanded to offshore polymetallic-nodule provinces containing cobalt, REE, nickel and manganese. More than 100 critical-mineral blocks are slated for auction. Khanij Bidesh India Ltd (KABIL) — the JV of NALCO, HCL and MECL — is the designated vehicle for overseas acquisitions, with active Argentina lithium (CAMYEN SE, 15,703 ha) and Australia lithium/cobalt off-take pipelines. India's official critical-minerals list contains 30 commodities, of which 24 are inscribed in Part D of Schedule I of the MMDR Act 1957 (after the 2023 amendment), reserving central-government auction authority over them. The NCMM sets an explicit recycling target of 15-20% of domestic critical-mineral demand met from secondary sources (e-waste, battery scrap, industrial waste) by 2035. The mission also funds a National Centre of Excellence for Critical Minerals and offers customs-duty waivers on 25 critical minerals (announced in the same FY24-25 budget) to lower import costs while domestic capacity scales. NCMM is India's pull-side complement to the US IRA, EU Critical Raw Materials Act, Canada Critical Minerals Strategy and Australia Critical Minerals Strategy — a coordinated allied response to Chinese dominance over refined cobalt, REE, graphite and gallium/germanium. For India specifically it is framed as the supply-chain underpinning for FAME-III (EV adoption), the Semicon India programme (gallium/germanium/silicon), and the National Solar Mission (silicon, indium, tellurium, gallium for thin-film PV).

Uttar Pradesh notified its first dedicated state-level Semiconductor Policy on 12 February 2024 (cabinet-cleared 30 January 2024), making it the fourth Indian state with a sectoral semiconductor incentive regime after Tamil Nadu, Karnataka and Gujarat. The policy stacks a 50% additional state capital subsidy on top of the central India Semiconductor Mission (ISM) 50% subsidy — yielding an effective ~75% capex coverage for qualifying fab, display-fab, compound-semiconductor, ATMP/OSAT, and sensor units approved by ISM. It adds a 75% land rebate on the first 200 acres for ATMP/OSAT (30% on additional land), a 5% interest subsidy (capped at ₹1 cr/year for 7 years) on investments up to ₹200 cr, 100% stamp-duty and registration-fee exemption, and a 10-year electricity-duty exemption. Within months of notification the state attracted ₹40,038 cr in investment proposals (Tarq Semiconductor, Kaynes Semicon, Aditech, Vamasundari) with ~32,000 projected jobs, prompting the cabinet to later approve mega-project incentives for investments ≥ ₹3,000 cr.

The Government of Tamil Nadu released the Tamil Nadu Semiconductor and Advanced Electronics Policy 2024 at the Tamil Nadu Global Investors Meet on 7 January 2024. The policy provides a state top-up equal to 50% of the central India Semiconductor Mission (ISM) incentive for any unit approved under the central semiconductor-fab / display-fab / compound-semiconductor / ATMP / sensor / silicon photonics / discrete semiconductor schemes, plus standalone state incentives (capital subsidy, training subsidy, product testing & prototyping support, land cost concessions, stamp duty refund, electricity tax exemption, quality certification, IP, and interest subsidy). Minimum investment threshold is ₹200 crore with a minimum of 150 jobs for the initial ₹200 crore tranche; the policy is valid for three years from the date of notification and is implemented by Guidance Tamil Nadu, the state's investment-promotion agency.

On 4 January 2023 the Union Cabinet of India, chaired by Prime Minister Narendra Modi, approved the National Green Hydrogen Mission with an initial financial outlay of ₹19,744 crore (≈USD 2.3 bn) covering FY2023-24 through FY2029-30. The bulk of the outlay — ₹17,490 crore — funds the Strategic Interventions for Green Hydrogen Transition (SIGHT) programme for electrolyser-manufacturing incentives and green-hydrogen production incentives. ₹1,466 crore is allocated to pilot projects (steel, mobility, shipping, ports, decentralised hydrogen), ₹400 crore to R&D, and ₹388 crore to other Mission components (skilling, regulatory framework, certification). The Ministry of New and Renewable Energy (MNRE) is the lead implementing agency. Headline targets by 2030: at least 5 MMT/year of domestic green-hydrogen production capacity, with ≈125 GW of associated additional renewable- energy capacity, mobilisation of >₹8 lakh crore (≈USD 100 bn) of total investment, creation of >600,000 jobs, and avoidance of ≈50 MMT/year of CO₂ emissions. The Mission is positioned as the supply-chain underpinning for India's hard-to-abate decarbonisation (refining, fertilisers, steel) and as the basis for a green-hydrogen export industry leveraging India's low-cost solar resource. MNRE notified the SIGHT scheme guidelines on 28 June 2023, splitting the programme into Component I (Electrolyser Manufacturing Incentive, ₹4,440 crore) and Component II (Green Hydrogen Production Incentive, ₹13,050 crore for Mode-1; subsequent Mode-2A and Mode-2B tranches added for sector-specific tenders). Solar Energy Corporation of India (SECI) is the implementing agency for both components and runs the competitive reverse-auction tenders.

The Union Cabinet approved the Semicon India Programme on 15 December 2021, establishing the India Semiconductor Mission (ISM) as the nodal agency. The programme offers fiscal support of up to 50% of project cost for silicon semiconductor fabs, compound semiconductor facilities, display fabs, ATMP/OSAT units, and chip design. Total outlay: Rs 76,000 crore (approximately $10.2bn at 2021 exchange rates). By February 2024, the Cabinet had approved three major semiconductor units under ISM: Tata Electronics with PSMC (semiconductor fab, Dholera, Rs 91,526 crore), Tata Electronics OSAT (Morigaon, Assam, Rs 27,120 crore), and CG Power OSAT (Rs 7,584 crore), totalling over Rs 1.26 lakh crore in committed investment from private applicants.