The Indian government officially announced on Friday that Micron's semiconductor factory in Gujarat is expected to roll out the first "Made in India" chip in December 2024, marking a key step in India's local semiconductor manufacturing industry. India's Minister of Communications, Electronics and Information Technology Ashvini Waishnav (Ashwini Vaishnaw) affirmed the difficulty of landing the first fab and stressed that with the Micron project as a starting point, India's semiconductor ecosystem will usher in large-scale development.
1. Micron India Project Core Progress
Micron Technology has pledged to invest US $0.825 billion billion over the next five years as a core part of its US $2.75 billion billion Indian semiconductor project, which aims to build a local semiconductor manufacturing base in India. The products produced by the plant will meet both India's domestic consumption and international export needs.
Following a joint statement by the Presidents and Prime Ministers of the United States and India, Minister Vaishnav officially announced that the land allocation, engineering design and tax compliance agreements for the semiconductor plant in Micron Gujarat have been completed. As one of the top five semiconductor companies in the world, the Micron India project is expected to create 5000 direct jobs and 15000 indirect jobs. Vaishnav is optimistic about the prospect of the industry. It is expected that 4-5 new semiconductor factories will be added in India in the next 12 months. By analogy with the development path of the automobile industry: starting from Maruti, Toyota, Hyundai and other enterprises will be attracted to enter the market in the future, eventually forming a complete industrial ecology. It is expected that about 200 small supporting units will emerge, especially in the core supporting fields of fabs such as chemical and natural gas manufacturing.
2. India Semiconductor Incentive Policy Upgraded
The Indian government simultaneously adjusted the semiconductor incentive plan, requiring individuals and enterprises that submitted applications in January to resubmit and revise the plan to flexibly focus on specific industries and optimize technical cooperation. At the same time, the government will support the financial incentive ratio of the construction of semiconductor fabs at any node (including mature nodes) in India from 30% of the originally planned capital expenditure, significant increase to 50% of total project cost, covering compound semiconductors, silicon photonics, sensor fabs and semiconductor assembly test packaging (ATMP) and other industry chain facilities.
In addition, the Minister instructed the Vedanta-Foxconn joint venture to submit a new proposal for semiconductor manufacturing in India, which will be re-evaluated to fit the revised incentive framework.
3. US-India Semiconductor Cooperation and Industrial Layout
The Presidents and Prime Ministers of the United States and India highly praised the Memorandum of Understanding on Semiconductor Supply Chain and Innovation Partnership (MoU), calling it a key tool in coordinating India's semiconductor incentives, which is expected to promote the coordinated development of business, scientific research and human skills in both countries.
Rajiv Chandrashekhar, Minister of State for Electronics and Information Technology, stressed that the major investment statements issued by leading companies such as Micron, Applied Materials and Lamm Research during the Prime Minister's visit are expected to create about 80000 jobs, highlighting the commitment of the two countries to jointly shape the future trajectory of technology development. Semiconductor equipment manufacturer Applied Materials (Applied Materials) also disclosed that it plans to invest US $0.4 billion in the next four years to establish a collaborative engineering center in Bangalore to deepen technology research and development and talent training.
Chandrashekar said: "The Prime Minister's vision is to position India as a core entity in the global semiconductor value chain. India has accumulated a deep foundation in the semiconductor sector over the past 75 years and is now steadily emerging as a strong player in the semiconductor ecosystem, with growth covering the entire chain of design, talent development, packaging, R & D and construction of manufacturing facilities."
+086 1911-7288-062 [ CN ]
888CHEM
Japanese 
Korean 
Hindi 
Russian 
Arabic 
Malaysian 
