The future of India’s chip industry
thehindu.com Jun 3, 2026

The future of India’s chip industry

AI-summarised brief · reviewed before publication

The Indian government has launched a 10-year roadmap for the semiconductor industry, prioritizing chipmaking due to its crucial role in electronics and national security. Despite facing steep challenges, the government is committed to developing world-class semiconductor manufacturing capabilities. Currently, India lacks fabrication units, but ten are in various stages of development, with the first expected to open in Gujarat by 2028. The India Semiconductor Mission has allocated ₹76,000 crore to support projects, including fabs, component manufacturing, and design applications. The report highlights the need for local manufacturing to reduce dependence on external sources and mitigate geopolitical risks.

💡 Why It Matters

  • · Geopolitical pressures, such as a disaster in Taiwan, could disrupt the electronics supply chain, threatening national security.
  • · Local semiconductor production is essential to reduce this risk and secure India's aerospace and defence programmes.