As US chips away at Chinese capacity, India takes big first steps
Narendra Modi accompanied by his Singapore counterpart Lawrence Wong on Thursday visited a leading Singaporean semiconductor company and also signed an MoU on India-Singapore Semiconductor Ecosystem Partnership. Around the same time Maharashtra cabinet panel approved a $10-billion (₹83,947 crore) investment proposal by a joint venture between Israel's Tower Semiconductor and Adani Group to set up a semiconductor chip manufacturing unit at Taloja.
A few days earlier, the Union Cabinet had approved setting up of an Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat by Kaynes Semicon with a Rs. 3,307 crore investment. The capacity of this unit will be 63 lakh chips per day.
Now, ET has reported that the Indian Semiconductor Mission (ISM) is likely to receive a second budgetary allocation of up to $ 10 billion ISM, a division within the Digital India Corporation tasked with furthering the country’s semiconductor manufacturing, packaging, and design capabilities was first established in 2022 with a budgetary allocation of $10 billion. The government will have to seek fresh funding under the ISM as it has almost exhausted the funds in the first phase which saw approvals of $11 billion, an official has told ET. Before nod to Kaynes and Tower-Adani plants, India had approved five chip plants: two by the Tata Group in Assam and Gujarat; and one each by Micron and CG Power in Gujarat and by RRP Electronics in Maharashtra.
China struggles to defend its chips industry
While India is taking mega
