Ahead of the annual investor event held in Gujarat, a top official of India's western state said it had talked with several chipmakers in Japan, South Korea, and the US, looking to attract their investment and build the state into a semiconductor powerhouse in India.
Bhupendra Patel, chief minister of Gujarat, told Reuters that the state is talking with chipmakers in Asia and the US for investments, and officials had visited Japan, meeting with executives of chipmakers in the country.
The statement came as the 10th Vibrant Gujarat Global Summit is scheduled to be held between January 10 and 12 in Gandhinagar, with the second day, January 11, of the summit focusing on semiconductors and electronics.
India states are competing to woo investments from global chipmakers after the central government of India unveiled an INR760 billion incentive scheme to develop a local semiconductor ecosystem as the world's chip supply chain is ramping up efforts to diversify production bases.
In July 2022, Gujarat became the first Indian state to launch a dedicated semiconductor policy, providing additional capital support at 40% of the capex assistance extended by India's central government. The state also promised to offer subsidies regarding land, taxes, water, and electricity.
Micron may become the first chipmaker to operate an ATMP facility in the state by the end of 2024 after receiving up to 70% (50%+20%) of the proposed project cost of US$2.75 billion from India's central and state governments. Besides Micron, Disco, a Japan-based semiconductor equipment provider, was reportedly evaluating to set up facilities in the state.
Amid the states' competition to woo semiconductor investments in India, the southern state of Tamil Nadu is scheduled to hold the third Global Investors' Meet on January 7 and 8. Deccan Herald reported that the state will announce its first semiconductor and advanced electronics policy during the event.
Upcoming semiconductor investments in Gujarat | |
Company | Description |
Micron | Memory ATMP (in construction) |
Vedanta | Chip and display fabs (waiting for approval) |
Disco | R&D facility (under consideration) |
Suchi Semicon | OSAT & ATMP (planned) |
Source: DIGITIMES Asia, January 2024
