In a first, an Indian Cabinet minister has published a post on Substack, with IT Minister Ashwini Vaishnaw using the platform to outline India’s plans to develop domestic semiconductor manufacturing. Vaishnaw said the government is working to bring advanced chip production to India and aims to achieve 7nm to 3nm chip technology within the next eight years.
According to Vaishnaw, the push for advanced semiconductor manufacturing is part of a larger effort to establish a complete chip ecosystem in India covering design, manufacturing, packaging, research and skilled talent.
In his Substack post, Vaishnaw said India currently has semiconductor manufacturing capabilities at the 40nm level. The government now plans to create a clear roadmap for moving towards more advanced nodes, targeting 7nm to 3nm technology over the next eight years.
India is currently implementing Semicon 2.0, the second phase of its semiconductor self-reliance programme. The Rs 1.275 lakh crore initiative goes beyond setting up chip fabrication plants and includes support for semiconductor design, equipment and materials, advanced packaging, research and talent development.
FROM 40NM TO ADVANCED CHIP TECHNOLOGY
India’s semiconductor manufacturing industry is still in its early stages. The country is currently developing its first major wafer fabrication plant in Dholera, Gujarat, through Tata Electronics and Taiwan-based Powerchip Semiconductor Manufacturing Corporation.
The project, involving an investment of around Rs 91,000 crore, will initially focus on mature semiconductor process technologies rather than cutting-edge nodes.
India is also expanding its capabilities in chip assembly and testing. Micron began operations at its semiconductor assembly and test facility in Sanand, Gujarat, in February. The company expects the facility to assemble and test tens of millions of chips during 2026, with production expected to increase further in 2027.
The target of reaching 7nm to 3nm technology therefore remains a long-term objective. Achieving it will require sustained spending on research, advanced technology and skilled engineers, along with the manufacturing infrastructure necessary for producing sophisticated chips.
For now, the immediate focus appears to be on expanding semiconductor manufacturing capacity and developing the broader ecosystem required to support the industry.
Talent development is another key part of the plan. Vaishnaw said India intends to train around 1 lakh chip-design engineers in the coming years.
Vaishnaw also argued that India’s semiconductor ambitions have been held back by missed opportunities in the past. He attributed some of the delay to mistakes made by previous governments during the 1960s and 1970s.
As an example, he pointed to Fairchild Semiconductor’s earlier interest in establishing a facility in India, an opportunity that ultimately did not materialise. Vaishnaw said India had missed multiple opportunities to develop a semiconductor industry over the decades.
