New Report Highlights India’s Potential to Expand Role in Global Semiconductor Value Chains

India, Feb 17, 2024: The Semiconductor Industry Association (SIA) and the India Electronics and Semiconductor Association (IESA) have jointly released a comprehensive report today, shedding light on India’s existing semiconductor ecosystem and policy frameworks. Titled “Assessing India’s Readiness to Assume a Greater Role in Global Semiconductor Value Chains,” the report, authored by the Information Technology and Innovation Foundation (ITIF), offers strategic recommendations aimed at bolstering India’s position in the global semiconductor landscape.

John Neuffer, President and CEO of SIA, expressed optimism about the collaboration between the U.S. and India in the semiconductor industry, stating, “India is already an important link in the global semiconductor supply chain and has the opportunity to expand its role in our sector.” He emphasized the importance of the right mix of government policies in strengthening India’s value proposition for semiconductor investment.

Echoing similar sentiments, Ashok Chandak, President of IESA, highlighted India’s potential for semiconductor manufacturing, underlining the country’s rapidly expanding domestic market and robust semiconductor design ecosystem. He emphasized the need for supportive government policies and industry collaboration to leverage global opportunities.

The ITIF report outlines several key areas for improvement to enhance India’s semiconductor competitiveness, including advancing cooperation between the U.S. and India on semiconductor initiatives, creating a pilot visa program to facilitate the exchange of skilled workers, and implementing policy reforms to reduce the cost of doing business for semiconductor companies in India.

Furthermore, the report recommends establishing cross-sector partnerships with higher education institutions to cultivate a semiconductor-ready workforce and facilitating ongoing consultation with industry stakeholders to ensure alignment with industry needs.

With the semiconductor industry poised for growth, India stands at a critical juncture to capitalize on its strengths and emerge as a key player in the global semiconductor value chains.