Approval of the $10 billion plan in India to attract semiconductor and display manufacturers

The Indian government announced on the 15th that it has approved a $10 billion incentive plan aimed at attracting semiconductor and display manufacturers to invest in India.

Indian Prime Minister Narendra Modi Source: Xinhua News Agency

The Indian government said in a statement on the same day that according to the above incentive plan, the government's financial support for related projects will be as high as 50% of the project cost, and financial support will be for qualified semiconductor and display companies.

The plan will provide "globally competitive" incentives for the semiconductor, display manufacturing and design industries, ushering in a "new era" in the electronics manufacturing industry, the statement said.

According to Reuters, the Indian government has also approved another incentive program to support 100 local companies to work on integrated circuit and chipset design.

India's Minister of Railways, Communications and Electronics and Information Technology, Ashvini Vaishnau, said the incentive scheme would help develop "a complete semiconductor ecosystem, from chip design to manufacturing, packaging and testing in India".

The Indian government estimates that the incentive program will create about 35,000 high-quality jobs, 100,000 indirect jobs and attract $8.8 billion in investment.

The Indian government has launched about $30 billion in incentives in the hope of attracting some international electronics manufacturing giants to do business in India.

According to data provided by Reuters, the above measures have made India the second largest smartphone manufacturer in the world.

According to the report, a number of US Apple supply chain outsourcers have pledged to invest in India.

A. Guru raj, managing director of Optimus Electronics India, said: "The government's plan will help advanced technologies, more jobs and investment into India, as well as help cut the cost of expensive technology imports. ”

Reuters reported last month that India's Tata Group is preparing to start an investment company for the semiconductor industry. The group is in contact with three states with plans to invest up to $300 million in chip assembly and test plants. Tata Group is one of India's largest business groups, selling everything from cars to table salt, and its notable companies include Jaguar Land Rover.