Citing third party forecasts, India’s Ministry of Electronics and Information Technology said India’s semiconductor market will grow to $63 billion by 2026.
It added that proposals valued over $20 billion were submitted from five chip and display manufacturers to build production facilities in the country. The companies sought $8.3 billion in incentives from the government. India’s government approved incentives worth over $10 billion in December 2021 to aid the local electronics manufacturing sector.
The first round of applications included three bids to construct semiconductor factories capable of production using 28 nanometer to 65 nanometer process technology, with a total planned investment of $13.6 billion and a monthly capacity of about 120,000 wafers. A joint venture between Hon Hai Precision (Foxconn) and India-based Vedanta, IGSS Ventures Singapore and India Semiconductor Manufacturing Co is seeking more than $5.6 billion in government backing.
Last updated: December 26th, 2025
