Globally, Taiwan holds a dominant position in
Over 312 Taiwanese firms lead this sector, but their involvement in India's nascent semiconductor industry remains limited.
The report highlights that despite aggressive government efforts and incentives, Taiwan's largest semiconductor companies, including industry giant
TSMC and other key players like UMC are investing in fabs in the U.S., Japan, and Germany, focusing on both advanced and legacy
The report states that Japan is providing training to Indian workers, while Taiwan is investing in semiconductor clusters in Southeast Asia. Strengthening such collaborations could provide the much-needed expertise and investment to bolster India's semiconductor ecosystem.
Nonetheless, the report noted that the collaboration between
The report emphasises the need for India to improve its infrastructure and manufacturing ecosystem to attract significant investments in the sector. India also needs to select the right companies to improve manufacturing yields.
It underscores concerns about the talent pool, stating that while many Indian students receive semiconductor training in Taiwan, a majority prefer to stay abroad, limiting the country's ability to build a skilled domestic workforce.
India's infrastructure, intellectual property protection, and regulatory environment also need improvement to attract global semiconductor manufacturers and build a flourishing semiconductor ecosystem.
On the global front, India has an opportunity to capitalise on shifting trade dynamics. With the U.S. and EU increasingly wary of Chinese components in their supply chains, India could position itself as a non-China alternative.
Domestically, India's demand for semiconductor chips is expected to surpass USD 100 billion by 2030, driven by the growing demand for electronic goods, the report says.