Modi announces $13.5 bn semiconductor push, Lam, Fujifilm invest

Prime Minister Narendra Modi on September 17 announced a $13.5 billion target for the second phase of India's semiconductor mission, up from $8 billion in phase one, at the inauguration of SEMICON India 2026 in New Delhi. He said 12 chip-making projects have been approved and the government is taking all measures to position India as a trusted global destination for semiconductor manufacturing, including policy and regulatory support.

Two major investment commitments were announced. Lam Research, a US semiconductor equipment maker, will invest ₹10,000 crore over several years to set up its first silicon component facility in India and expand R&D operations. Japanese firm Fujifilm will invest ₹800 crore for a semiconductor materials plant, with phase one breaking ground in fiscal 2026 and commercial production targeted for fiscal 2028, aligned with the India Semiconductor Mission 2.0 policy.

Modi also cited 3,000 km of operational Dedicated Freight Corridors and a 7.8% quarterly GDP growth rate as evidence of India's expanding industrial infrastructure. Applied Materials separately announced $5 billion in investments under Vision 2035.