Zetwerk Plans ₹500–800 Cr Investment to Boost Electronics Component Manufacturing

To expand its footprint in electronics component manufacturing, Zetwerk is planning to invest ₹500–800 crore. Bengaluru-based manufacturing unicorn aims to begin production of printed circuit boards (PCBs), enclosures, and electromechanical components like heat sinks and sensors. Zetwerk’s co-founder Rahul Sharma told The Economic Times that this move aligns with the government’s Production-Linked Incentive (PLI) scheme for components, which the company is currently applying for.

To strengthen its manufacturing capabilities, Zetwerk has entered into a technology partnership with a Taiwanese company for PCB production and is in discussions with a South Korean firm. For enclosures, the company is collaborating with an Indian partner due to existing domestic expertise. The focus for enclosures will be on laptops and non-Apple mobile devices.

The firm is also exploring potential partnerships with Chinese companies, particularly in specialised PCB segments. Sharma noted that recent policy shifts allowing minority partnerships with Chinese firms could help India bridge critical technology gaps, provided all necessary government approvals are obtained.

Currently, Zetwerk operates electronics manufacturing facilities in Uttar Pradesh, Haryana, Tamil Nadu, and Karnataka. With the new component PLI scheme, the company plans to set up additional manufacturing units and is in talks with several state governments, though no final agreements have been signed yet.

Sharma clarified that while components like electromechanical parts can be produced in existing plants, PCBs require separate facilities due to specific technical requirements. Similarly, enclosures would be set up in dedicated spaces outside current EMS clusters. The company has also engaged one of the Big Four consulting firms to assist in preparing a robust application for the PLI scheme.

Source: MSN