Chandigarh

Recent Developments in Key Sectors

• In FY26, Chandigarh exported nuclear reactors, boilers, machinery and mechanical appliances for worth US$ 32.12 million, followed by man-made staple fibres worth US$ 12.84 million.
• As of April 2026, Chandigarh had a total installed power generation capacity of 254.72 MW, of which 78.85 MW was contributed by central utilities and 175.87 MW by private utilities.
• According to the Telecom Regulatory Authority of India (TRAI), Chandigarh had 1.74 million wireless subscribers and 0.17 million wireline subscribers, as of December 2025.
• Chandigarh had a high Tele-density of 150.75%, as of December 2025.
• The Union territory administration has announced a significant increase in property tax rates for both residential and commercial properties within the city. Residential property owners will experience a threefold increase in their tax rates, while commercial property tax rates will be doubled. As a result, the municipal corporation's revenue from property tax is projected to rise from Rs. 45 crore (US$ 5.3 million) to Rs. 90 crore (US$ 10.6 million) annually.
• As part of the Union Budget 2026-27, a major chunk of Rs. 120.66 crore (US$ 13.26 million) has been allocated for the next fiscal year for education.
• In the State Budget of 2026-27, Rs. 47.31 crore (US$ 5.20 million) has been allocated to the roads and transport department.
• Out of about 2,950 small-scale industries in Chandigarh, about 40% are ancillary units producing components for the major tractor industry around Chandigarh. The light engineering industry is heavily represented, other industrial units produce mainly industrial fasteners, electrical/electronic items, machine tools, pharmaceuticals, plastic goods, sanitary fittings, steel / wooden furniture food products etc. A number of items manufactured here are finding ready markets abroad.
• There are many units’ manufacturing agricultural equipment, tractor components, auto parts, tyres & tubes, electric meters, electronic items, cables and engineering items operating in Chandigarh.
• Basic metal and metal alloy industries are among the leading industries in this sector in Chandigarh. Metal products such as bars, steel rods & rolled products and HR strips are some examples.
• The Chandigarh industrial area is also home to several pharmaceutical manufacturing companies such as Pfizer and Ind Swift.
• ~40% of all industries in Chandigarh are ancillary units manufacturing components for the tractor industry.
• Other industrial units are mainly manufacturing industrial fasteners, electrical/electronic items, machine tools, pharmaceuticals, plastic goods, sanitary fittings, steel / wooden furniture food products etc.

Chandigarh is a compact, services-driven Union Territory and the joint capital of Punjab and Haryana, offering a stable and investor-friendly business environment. With a focus on IT, light engineering and pharmaceuticals, its industrial base is dominated by MSMEs, including a strong cluster of ancillary units supporting the tractor and auto component industry. High digital connectivity, reliable power infrastructure and sustained public investment in urban development continue to position Chandigarh as a resilient administrative and economic hub in North India.