Due to the current geopolitical climate, countries with shared interests are partnering with India to establish it as a major hub for semiconductor manufacturing, according to a senior official from the Ministry of Electronics and IT.
S Krishnan, the ministry’s secretary, announced on Sunday that pilot facilities of US-based semiconductor maker Micron and Tata Electronics have already started producing chips. Their main plants in Gujarat are set to begin manufacturing Indian-made chips in late 2025. “Globally, the geopolitical situation has highlighted the strategic importance of semiconductors, emphasizing the need for increased resilience in their production,” Krishnan said.
The pandemic underscored the critical need for semiconductor resilience, as industries like automotive, medical devices, and consumer electronics experienced disruptions due to chip shortages. This highlighted the necessity for diversifying semiconductor sources, Krishnan explained.
To build this resilience, like-minded countries are working with India to position it as a key semiconductor manufacturing destination. India has agreements with the US, European Union, UK, Japan, and recently, Singapore. The government has approved semiconductor projects worth ₹1.5 lakh crore so far. “We have cleared five projects under the India Semiconductor Mission,” Krishnan noted.
Interest from semiconductor companies in India is growing, with participation in the upcoming Semicon India event increasing fourfold, reflecting the country’s potential in the semiconductor sector.
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