Five to eight more semiconductor plants to come up in eight years: PM Modi

India's Prime Minister Narendra Modi announced on Friday that five to eight more semiconductor plants will commence operations in the country over the next seven to eight years, underscoring the nation's commitment to self-reliance in chip manufacturing. In his address to the nation on the 80th Independence Day, Modi highlighted the critical importance of semiconductors, stating that the world's systems could cease functioning without them.

Three semiconductor assembly, testing, marking, and packaging (ATMP) units owned by Micron Technology, Kaynes Semicon, and CG Semi have already begun commercial production this year in Sanand. These facilities have also started exporting products, according to Modi. Additionally, nine other semiconductor facilities, including a fabrication unit being developed by Tata Electronics, have been approved under the Rs 76,000-crore first phase of the India Semiconductor Mission (ISM).

The second phase of the ISM, worth Rs 1.27 lakh crores, was approved last month, and officials expect the administrative notification for this phase to be released soon. Modi warned that voices advocating globalization have become scarce, and countries are beginning to weaponize critical resources, including technology and semiconductors. He emphasized his vision of building the entire semiconductor manufacturing ecosystem, expanding the production basket to encompass both small components and large-scale products.

Modi reiterated his call for India to be the trusted hub in the global semiconductor supply chain, from design to manufacturing. During his Independence Day speech, he also announced plans to nationwide skill 10 million youth in artificial intelligence (AI) within the next year, aiming to equip the youth with the capabilities to lead in the AI-driven world.