EMS and electronics-related stocks traded firmly higher through late morning deals after Finance Minister Nirmala Sitharaman announced a sharp increase in the Electronics Component Manufacturing Scheme (ECMS) outlay to Rs 40,000 crore in the Union Budget 2026, up from Rs 22,919 crore earlier. The announcement triggered broad-based buying across contract manufacturers, component makers and allied electrical companies.
EMS stocks rally
Soon after the announcement, Fujiyama Power Systems was up over 6%, Amber Enterprises India gained more than 5.5%, and Syrma SGS Technology rose over 5%. Quality Power Electrical Equipments was higher by nearly 5%, while GNG Electronics added over 4%. Large EMS names such as Dixon Technologies (India) climbed about 4%, with EPACK Durables, Kaynes Technology India, and Avalon Technologies trading 3%–4% higher.
Gains were also seen in Centum Electronics, PG Electroplast, Whirlpool of India, DCX Systems, Exicom Tele-Systems, Atlanta Electricals, Saatvik Green Energy, Eureka Forbes, Havells India, Cyient DLM, Vikram Solar, Premier Energies, and Polycab India, even as Bajaj Electricals and Seshaasai Technologies slipped marginally. LG Electronics India and Symphony were among the notable laggards, while the BSE Sensex traded modestly higher.
Budget lays out wider manufacturing and infra push
Outlining the government’s broader approach to manufacturing, Sitharaman said, “To accelerate and sustain economic growth, I propose interventions in six areas -Scaling up manufacturing in 7 strategic sectors; Rejuvenating legacy industrial sectors; Creating champion MSMEs; Delivering a push for infra; Ensuring long-term security and stability; Developing city economic regions.”
She also announced measures linked to logistics and cargo movement, stating, “To promote environmentally sustainable movement of cargo, I propose to establish new dedicated freight corridors connecting Dankuni in the east to Surat in the west, operational 20 new waterways over the next 5 years, starting with national waterways 5 in Odisha to connect mineral-rich areas of Talcher and Angul and industrial centres like Kalinganagar to the ports of Paradip and Damra. A ship repair ecosystem, catering to inland waterways, will also be set up at Varanasi and Patna…”