India touts rapid rise in chip sector with 2025 production goal

India semiconductor production 2025 to begin with Tata and Micron test chips, as Modi positions India as a future global leader in chip innovation

India semiconductor production 2025 is officially on the horizon, as Prime Minister Narendra Modi announced that commercial chip manufacturing will begin by the end of the year.

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Speaking at the Semicon India 2025 conference in New Delhi, Modi called India a rising “global hub” for chip innovation.

Test chips from major players like Tata and Micron are already being produced, Modi confirmed, signaling rapid development in a sector India entered relatively late.

“Commercial chip production will begin this year,” Modi declared. “This reflects how rapidly India is advancing in the semiconductor sector.”

India’s domestic semiconductor market is projected to reach $45–50 billion in 2024–2025, up from $38 billion in 2023, with an ambitious government target of $100–110 billion by 2030.

To achieve that, India is rolling out 10 major semiconductor projects valued at $18 billion, including two ultra-advanced 3-nanometre chip design facilities under construction in Noida and Bengaluru.

India claims to hold advantages in three key areas:

•  Component production for chip-making equipment
• Supply of critical materials like minerals and chemicals
•  Services including AI, cloud computing, big data, and R&D

Modi emphasized the country’s “human capital edge”, noting that 20% of the world’s chip design talent is of Indian origin.

In a major boost, Japan pledged 10 trillion yen ($68 billion) in investment last week, including semiconductor and AI cooperation, during Modi’s diplomatic visit to Tokyo.

India is not just aiming for market share but wants to create a complete semiconductor ecosystem  covering design, fabrication, and packaging to ensure supply chain resilience and become globally competitive.

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“When the chips are down, you can bet on India,” Modi said, reinforcing the country’s readiness to take on a global leadership role in semiconductors.

Source: Read more at championnews.com.ng

David Okere