Union Electronics and Information Technology Minister Ashwini Vaishnaw on Friday said India remains on schedule to begin commercial semiconductor chip production in 2026, in line with the targets outlined under the India Semiconductor Mission launched in January 2022.
Speaking to media, the minister said the government had committed to starting commercial production within five years of the mission’s launch and that the timeline is being met.
“The first commercial production will begin in 2026. Four semiconductor plants are expected to start operations this year, while pilot production has already begun at three plants in 2025,” Vaishnaw said.
Semiconductor ecosystem taking shape
The minister said India’s semiconductor ecosystem is developing rapidly, with global equipment manufacturers setting up operations in the country and a strong materials manufacturing base emerging alongside.
He added that the talent pipeline is progressing faster than expected. Against a target of training 85,000 skilled professionals over 10 years, India has already trained around 65,000 people in just four years, he said.
Vaishnaw noted that several milestones under the first phase of the Semiconductor Mission are either on track or ahead of schedule, reflecting growing confidence in India’s manufacturing ambitions.
Investments near $90 billion, more expected
On the investment front, the minister said total investments in the semiconductor sector have reached close to USD 90 billion so far. He added that committed investments could rise to around USD 150 billion as India approaches the upcoming AI Impact Summit scheduled to be held in New Delhi from February 16 to 20.
According to Vaishnaw, global semiconductor players are increasingly supportive of India’s efforts and are keen to participate in the country’s expanding chip manufacturing ecosystem.
ASML equipment for Dholera fab
Highlighting the importance of advanced manufacturing technology, Vaishnaw spoke about his visit to Veldhoven in the Netherlands, where he visited the headquarters of ASML, the world’s leading supplier of lithography equipment used in semiconductor manufacturing.
He said lithography remains the most complex and precision-intensive process in chip production and confirmed that India’s upcoming semiconductor fabrication facility in Dholera, Gujarat, will use equipment supplied by ASML.
Vaishnaw said the interest of global equipment manufacturers in India reflects the country’s strong design capabilities, large talent pool and consistent policy environment.
India’s progress in AI and global confidence
The minister also highlighted India’s growing role in artificial intelligence, stating that the country is developing strength across multiple layers of the AI stack, including applications, sovereign models, chips and infrastructure.
He said global industry leaders expressed strong confidence in India’s semiconductor and AI journey during discussions at the World Economic Forum in Davos, with many indicating their willingness to contribute to India’s long-term goals.
The India Semiconductor Mission, approved by the Union Cabinet in December 2021 with an outlay of Rs 76,000 crore, aims to support semiconductor fabrication, display manufacturing and chip design, and position India as a global hub for electronics manufacturing and innovation.