Prime Minister Narendra Modi on Thursday pitched India as a trusted destination for global chip manufacturing and said the government is taking all measures to ensure the industry’s success through enabling policies and frameworks.

Speaking at the inauguration of the SEMICON India 2026, the PM said that the semiconductor ecosystem is expanding rapidly, opening new opportunities for innovation, investment and growth.

The world needs new and trusted locations for chip manufacturing, and India is preparing itself for this, he said.

India is taking all measures to become a preferred destination for semiconductor manufacturing, he further said.

So far, 12 chip-making projects have been approved, and the next phase will see the numbers increase further, the PM noted.

India Semiconductor Mission 2.0 expanded outlay to USD 13.5 billion from USD 8 billion in the first phase, he said, adding, “Be it policies, regulatory framework…whatever is needed for you (manufacturers) to succeed, government is taking all steps and efforts to ensure that.”

The Indian economy is expanding rapidly, and so is the world’s confidence in India, he said, citing Q1 GDP growth and Japanese rating agency JCRA’s India rating upgrade.

India is seeking to build a complete semiconductor ecosystem, expanding beyond chip design and assembly to fabrication, advanced packaging, equipment, materials, research and talent as it looks to strengthen electronics manufacturing and reduce dependence on global supply chains.

India is betting that the global push to diversify semiconductor supply chains away from concentrated manufacturing hubs can help position the country as a major chipmaking and electronics manufacturing hub.

Backed by billions of dollars in incentives, New Delhi is courting global manufacturers and leveraging its engineering talent, vast consumer market and strategic position as it seeks to build a full-stack industry spanning chip design, fabrication, packaging and testing.

On Thursday, Applied Materials announced USD 5 billion in investments under Vision 2035 to integrate India’s semiconductor ecosystem into the global value chain. (Agencies)