Japan’s chip industry capitalises on growth in India semiconductor industry
AgenciesJapanese chip-linked companies are stepping up their foray into the Indian market, banking on Prime Minister Narendra Modi’s initiative for India to become a leader in the...
Japanese chip firms are expanding their presence in India, capitalising on Prime Minister Narendra Modi's plans to make the country a leading semiconductor hub. Despite progress in building a domestic chip manufacturing ecosystem, shortages of specialised suppliers and skilled workers persist. This trend was evident at Semicon India 2026, a gathering in New Delhi where over 30 Japanese companies showcased their interest.
Indian and Japanese industry representatives discussed partnerships, supply chains, and research during a roundtable. India aims to become a global chip manufacturing centre, with the government planning to increase its semiconductor budget to approximately $13.5 billion. The first phase of the India Semiconductor Mission allocated funding for 12 projects, with Japanese Prime Minister Sanae Takaichi expressing support for increased collaboration.
Japanese equipment and material vendors are partnering with Indian firms like Suchi Semicon, while companies such as Fujifilm, Sumitomo Chemical, and Enomoto are exploring supply chain and production technology collaborations. Training initiatives, like Tokyo Electron Ltd.'s planned Gujarat center, seek to bridge the skills gap in India's semiconductor workforce, with other US and South Korean firms also investing in India's growing industry.
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