The Indian government officially announced on Friday that Micron's (Micron) semiconductor factory in Gujarat is expected to produce the first locally manufactured chip in India in December 2024. Indian Minister of Communications, Electronics and Information Technology Ashvini Vashnao (Ashwini Vaishnaw) made it clear that the construction of the first production line is extremely challenging, but he also emphasized that once large companies such as Micron are put into production, it will drive the entire Sustainable development of the semiconductor ecosystem.
Minister Vashnau made an analogy with the development of the automobile industry as an example. He mentioned that after Maruti (Maruti) first entered the Indian market, Toyota, Hyundai and other car companies entered one after another, and finally Tata (Tata) also rose. He highlighted the significance of the first core project of Micron's factory, and predicted that in the future, the factory will lead to the creation of about 200 small supporting enterprises in the ecosystem, especially in the chemical and gas manufacturing fields-these industries are crucial for fabs and wafer production and will lay the foundation for the Indian semiconductor industry.
As one of the world's five largest semiconductor companies, Micron Technology has promised to invest US $0.825 billion in India's semiconductor manufacturing project in the next five years, with a total investment of US $2.75 billion. It is reported that the products produced by Micron's Indian factory will take into account India's domestic consumer demand and international exports, and realize the layout of "local manufacturing and global supply.
After US President Biden and Indian Prime Minister Narendra Modi issued a joint statement, Minister Vashnau announced that the land distribution, plant design and tax compliance agreements for the semiconductor plant in Micron Gujarat have been completed and the project has entered a substantive stage of progress. Vashneau is optimistic about this. It is expected that in the next 12 months, India will add 4 to 5 semiconductor factories to further expand the scale of the industry. At the same time, the Micron plant will also significantly boost employment, with 5000 direct jobs and 15000 indirect jobs expected to be created over the same period.
In a joint statement, Biden and Modi expressed appreciation for the "Memorandum of Understanding on Semiconductor Supply Chain and Innovation Partnership" (MoU) signed by the United States and India, and believed that this move is a key step in the coordinated advancement of the semiconductor incentive plans of the two countries. The statement pointed out that this cooperation will create more opportunities for both parties in the fields of business and scientific research, while promoting talent training and skill upgrading, and helping the coordinated development of the semiconductor industry of the two countries.
At the same time, the Indian government has asked companies that submitted applications for semiconductor projects in January this year to resubmit and revise their applications according to the revised plan. The aim is to give companies more flexibility to focus on specific areas, optimize the technical cooperation model, and make necessary adjustments according to the needs of the industry. Minister Vashnau also mentioned that the government has instructed the Vedanta-Foxconn joint venture (note: Foxconn has withdrawn from the joint venture project and is currently being promoted by Vedanta alone) to resubmit the Indian semiconductor manufacturing proposal for reevaluation.
Under the revised support plan, the Indian government has increased the financial incentive for semiconductor fabs to 50% of the project cost, covering all nodes (including mature nodes). This is significantly different from the previous policy, which previously provided financial support of 30% of capital expenditure only for approved compound semiconductors, silicon photonics, sensor fabs and semiconductor packaging and testing (ATMP) facilities. This adjustment will further reduce the investment threshold for enterprises and attract more enterprises to settle in.
Indian Minister of State for Electronics and Information Technology Lal Chandrasekal (Rajeev Chandrasekhar) added that during Prime Minister Modi's visit to the United States, industry giants such as Micron, Applied Materials (Applied Materials) and Pan Lin Semiconductor (Lam Research) have announced investment plans in India, which are expected to create about 8000 jobs, highlighting the firm commitment of the United States and India to jointly influence the future trajectory of scientific and technological development.
In addition, applied materials, a semiconductor equipment manufacturer, has announced plans to invest US $0.4 billion in the next four years (note: the original US $40 million is a clerical error, and the online verification is US $0.4 billion) to establish a collaborative engineering center in Bangalore, India, to further improve the supporting facilities of India's semiconductor industry chain and help local technology research and development and personnel training.
Chandrasekhar said: "The Prime Minister's vision is to establish India as a key force in the global semiconductor value chain. India has been absent from the semiconductor sector for the past 75 years, but is now steadily emerging as an important player in the semiconductor ecosystem. This growth covers design, talent development, packaging and testing, scientific research, and semiconductor manufacturing facilities are about to go into production." It is reported that Meguang's sealing and testing plant in Sanand, Gujarat, has been officially put into operation, with a production capacity of tens of millions in 2026 and hundreds of millions in 2027, becoming an important support for the development of India's semiconductor industry.
+086 1911-7288-062 [ CN ]
888CHEM
Japanese 
Korean 
Hindi 
Russian 
Arabic 
Malaysian 
