India will begin large-scale semiconductor production by the end of 2025, Prime Minister Narendra Modi has announced, positioning the country as a future global hub for chip design and innovation.
Speaking at the opening of the annual Semicon India conference in New Delhi on Tuesday, Modi disclosed that test chips from technology giants Micron and Tata were already being produced, marking significant progress in the nation’s semiconductor roadmap.
“Commercial chip production will begin this year. This reflects how rapidly India is advancing in the semiconductor sector,” the Prime Minister said.
India’s semiconductor market, valued at $38 billion in 2023, has expanded to between $45 billion and $50 billion in 2024–2025. Government projections place the sector at $100–110 billion by 2030. Currently, 10 semiconductor projects worth $18 billion are underway, including two state-of-the-art 3-nanometre fabrication facilities in Noida and Bengaluru.
“Our journey began late, but nothing can stop us now,” Modi declared, underscoring India’s competitive edge in semiconductor equipment production, critical material supplies, and services spanning research and development, artificial intelligence, big data, and cloud computing.
Highlighting the country’s talent pool, Modi noted that India contributes nearly 20 percent of the global semiconductor design workforce.
The announcement comes on the heels of Japan’s pledge to scale up investments in India to 10 trillion yen ($68 billion), covering semiconductor and artificial intelligence cooperation, during Modi’s recent visit to Tokyo.
As the world’s fifth-largest and fastest-growing major economy, India is seeking new drivers of growth amid global trade headwinds and shifting supply chains. With international chip demand surging and production concentrated in a few regions, India aims to build a comprehensive ecosystem covering design, manufacturing, and packaging to enhance both self-reliance and global competitiveness.
“Today’s India inspires confidence in the world. When the chips are down, you can bet on India,” Modi added.
AFP
