The Government in the Southern Indian state of Tamil Nadu has inked an MoU with Dixon Technologies Limited for the latter's setting up of an electronics manufacturing facility that would roll out laptops and all-in-one computers. The Indospace Industrial park housing this facility will be located in Oragadam, near Chennai city. "HP laptops, soon to be #MadeInTamilNadu!," read the State's Industries Minister TRB Rajaa's social media post. He said that the facility would be setup with an investment of Rs 1000cr (approx $115mn), and is expected to create 5000 jobs. 

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Dixon Technologies is a contractor that assembles gadgets for Samsung, Xiaomi, Motorola, Panasonic, TCL Technologies, OnePlus, among others. The electronics manufacturing company has facilities in Uttar Pradesh, Uttarakhand and Andhra Pradesh, and is soon to operationalize the facility in Tamil Nadu.

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Tamil Nadu is the second largest state economy in the country and leading state in manufacturing and exports. It added that initiatives are being undertaken to grow the state economy to $1trillion by the end of this decade, and attract the necessary investment. Tamil Nadu has received investment commitments worth Rs 10,14,368 crore by signing 895 MoUs with various companies since May 2021, creating 32 lakh jobs in the state, the state government said.

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According to the Indian Government, the country's electronics manufacturing sector has grown exponentially over the past decade, with total production increasing from Rs 2.4 lakh crore in 2014 to Rs 9.8 lakh crore in 2024. Mobile manufacturing alone has reached Rs 4.4 lakh crore, with exports at Rs 1.5 lakh crore in 2024. 98 per cent of the mobile phones used in India are now being manufactured in India with Smartphones becoming the fourth largest export item from India.

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Tamil Nadu has over 47 manufacturing units supported under various schemes of the Ministry of Electronics and Information Technology (MeitY). The state is one of the largest beneficiaries of the Production Linked Incentive (PLI) scheme for Large Scale Electronics Manufacturing, with seven out of the 27 approved units under PLI 2.0 located here. Launched in May 2023, PLI 2.0 for IT Hardware, aims to further strengthen India’s electronics manufacturing ecosystem by offering a 5% incentive to eligible companies. The scheme covers products like laptops, tablets, all-in-one PCs, servers, and ultra-small form factor devices.