India’s semiconductor plans are beginning to take shape, with a deliberate focus on producing mature-node chips rather than competing in the global race for cutting-edge technology. The country is targeting the 28nm to 65nm range to meet rising demand in sectors such as automotive, telecommunications, and industrial electronics.An analysis by Bastion Research cited by news agency ANI notes that while India has yet to make major progress in building advanced semiconductor fabs, it is strategically positioning itself to fill a “critical gap” in the global supply chain. “Though today there is not much to share as far as India’s progress in establishing a semiconductor fab is concerned, one thing is clear – India’s semiconductor ambitions are taking shape with a strategic focus on mature-node manufacturing,” the report stated. The study compared India’s current stage to Taiwan and South Korea’s semiconductor journey in the 1970s–1990s.India is already gaining ground in system integration, particularly in automotive electronics, telecom, consumer devices, and medical technology. The country’s talent pool and technical capabilities are seen as matching global standards, with rapid progress in scaling operations. The report adds that the global “China +1” strategy is benefiting India, as companies seek to diversify supply chains away from China.The government’s Semicon India Programme, launched in 2021 with Rs 76,000 crore in incentives, focuses on attracting manufacturers, establishing fabs, and building a local supply chain. Recent approvals under the India Semiconductor Mission (ISM) include four new projects worth Rs 4,600 crore in Odisha, Andhra Pradesh, and Punjab, taking the total ISM portfolio to 10 projects across six states with investments of Rs 1.6 lakh crore.Prime Minister Narendra Modi announced on Independence Day that India-made semiconductor chips will hit the market by the end of this year. New Delhi has already approved the construction of six semiconductor plants.In May, the Union cabinet cleared the country’s sixth unit, a semiconductor manufacturing facility in Jewar, western Uttar Pradesh. The plant, to be located near Jewar Airport, will be set up through a joint venture between the HCL Group and Taiwanese electronics major Foxconn.Of the other five plants, four are based in Gujarat: the Tata Electronics–PSMC Semiconductor fabrication plant, the CG Power–Renesas–Stars Microelectronics ATMP unit, Micron Technology’s ATMP facility, and the Kaynes Semicon ATMP unit. The remaining project, the Tata Semiconductor Assembly and Test (TSAT) unit, is located in Assam.
