Prime Minister Narendra Modi took center stage at the fourth edition of Semicon India 2025, outlining an ambitious vision for India’s semiconductor industry that’s anything but short-term. With the global semiconductor market set to balloon to $1 trillion by 2030, Modi made it clear: India wants a hefty slice of that digital pie.
The government has wasted no time translating that ambition into action. Earlier this month, the Union Cabinet greenlit four new semiconductor assembly and testing plants under the India Semiconductor Mission (ISM), backed by a substantial financial outlay of Rs 4,594 crore. These new facilities add to the ten units already announced and approved since ISM’s inception in 2021—collectively representing a whopping $18 billion in investment.
India’s Chip Market Eyes Explosive Growth
India’s own semiconductor market is firing on all cylinders. Industry estimates peg its value at about $38 billion in 2023, rising to $45-50 billion for 2024-2025. By 2030? That figure could skyrocket into the $100-110 billion range—effectively more than doubling in just six years. It’s a growth rate that mirrors India’s robust economic momentum; GDP expanded by an impressive 7.8% in Q1 alone.
Prime Minister Modi didn’t shy away from bold metaphors during his address: “Oil was black gold, but chips are digital diamonds.” He emphasized that days are not far when “chips are designed in India, made in India, and trusted by the world.” The pilot facility of the CG Semi plant in Sanand began operations just last week—a first step toward mass-producing Made-in-India chips.
Next-Gen Reforms and Global Partnerships
The next phase of ISM promises “next-generation reforms” and policies built for the long haul. Modi urged global investors to jump aboard India’s semiconductor journey, highlighting international trust in Indian capabilities. “The design is ready, the mask is aligned, and it’s time to execute with precision and scale,” he told industry leaders.
With Taiwan still dominating over 60% of global chip production—including nearly 90% of advanced semiconductors—India faces stiff competition. But with government incentives stacking up and a clear mission for ‘Design in India, Made in India,’ it’s clear the country is aiming to become a full-stack semiconductor powerhouse sooner rather than later.
