NEW DELHI, Feb. 5 -- India's top listed electronics manufacturers Syrma SGS and Dixon Technologies are reassessing plans to enter semiconductor and chip component manufacturing after the Union budget for 2026-27 announced India Semiconductor Mission (ISM) 2.0, a new incentives programme aimed at building deeper chip capabilities.

The second mission, expected to follow the Rs.76,000 crore chip incentive scheme launched five years ago, will focus on developing a more comprehensive semiconductor components ecosystem. The policy shift is prompting electronics manufacturing services (EMS) companies, mostly dependent on low-margin assembly work, to examine whether they can move up the electronics supply chain.

"Companies which missed out on I...