Workers and engineers at a modern semiconductor manufacturing facility in India
India’s semiconductor market is poised for significant growth, expected to reach around $110 billion by 2030, positioning the country as a trusted player in the global $1 trillion semiconductor industry. Prime Minister Narendra Modi announced during his 79th Independence Day speech that Made-in-India semiconductor chips will hit the market by the end of 2025, marking a key milestone in India’s drive for technological self-reliance. Recently, the Union Cabinet approved four semiconductor projects worth Rs 4,600 crore, which are set to create about 2,000 skilled jobs and numerous indirect opportunities along the value chain.
Currently, India relies heavily on Taiwan, which produces about 90 percent of the advanced chips used in the country. The new Indian facilities, spread across Odisha, Andhra Pradesh, and Punjab, aim to ensure a stable local supply of chips for telecom, electric vehicles, and defence sectors, boosting economic resilience and reducing strategic risks. Odisha will host two important projects, including the country’s first commercial compound semiconductor fabrication plant by SiCSem Private Limited, targeting critical sectors like defence and energy infrastructure.
Further, Odisha-based 3D Glass Solutions Inc. is set to build an advanced packaging and embedded glass substrate plant, which will enhance chip packaging technologies essential for AI, communication, and photonics industries. Andhra Pradesh’s ASIP Technologies, in partnership with South Korea’s APACT, will establish a plant focused on consumer electronics, automotive, and communication devices. Meanwhile, Punjab’s Continental Device India Ltd. will increase production of MOSFETs and IGBTs, components vital for renewable energy, electric vehicles, automation, and industrial digitalisation.
India is also investing heavily in workforce development, with over 60,000 students being trained in semiconductor-related skills to meet both domestic and global demand. The government’s focus extends beyond basic chip manufacturing to advanced applications in defence, high-performance computing, artificial intelligence, and photonics. With these efforts, “Designed and Made in India” chips are poised to compete effectively in global supply chains, offering alternatives amid global geopolitical tensions and strengthening India’s position in the high-tech world.
