Context: Semiconductor Manufacturing Push in India / India Semiconductor Mission
India is pushing domestic semiconductor manufacturing through the India Semiconductor Mission to reduce import dependence and build a chip ecosystem from design to manufacturing.
Semiconductor Chain
Design → Fabrication → Assembly / Testing / Packaging → Final Chip
Fabrication Unit
- A fabrication unit, or fab, is the actual factory where silicon wafers are converted into chips.
- It is the most difficult and costly part because it needs clean rooms, advanced machines, skilled engineers, water and uninterrupted power.
India Semiconductor Mission
- Ministry: Ministry of Electronics and Information Technology
- Launched: 2021
- Incentive: Up to 50% fiscal support by Centre plus State incentives
Aim of ISM
- Fab plants
- Assembly Testing Marking and Packaging
- Outsourced Semiconductor Assembly and Test
- Design ecosystem
Important Semiconductor Projects
- Tata Fab: Dholera, Gujarat
- Tata ATMP: Morigaon, Assam
- CG Power–Renesas–STAR: Sanand, Gujarat
- HCL–Foxconn: Jewar, Uttar Pradesh
- SiCSem: Odisha
PYQ Trap
- HCL–Foxconn is in Uttar Pradesh, not Madhya Pradesh.
Why Important?
Semiconductors are used in mobiles, cars, defence, satellites, Artificial Intelligence, 5G and electronics. India wants to reduce dependence on China / Taiwan supply chains and become a trusted global chip hub.




