The Centre has approved 12 semiconductor projects spanning six states with investment commitments exceeding ₹1.64 lakh crore, according to a government factsheet released on Tuesday, 15 September 2026, ahead of SEMICON India 2026 — the flagship semiconductor industry summit to be inaugurated by Prime Minister Narendra Modi in New Delhi on Thursday. Three of the approved facilities have already commenced commercial production, marking an early milestone in India's push to build a self-reliant domestic semiconductor ecosystem.

Scope of Approved Projects

The 12 approved projects cover the full breadth of the semiconductor value chain, including silicon and compound semiconductor fabrication, display fabrication, and advanced packaging. The geographic spread across six states signals an effort to decentralise chip manufacturing capacity rather than concentrate it in a single industrial corridor. According to the government factsheet, the three facilities already in commercial production represent the first fruits of the programme launched in 2021 with an initial outlay of ₹76,000 crore.

Semicon 2.0: A Larger, Broader Mandate

In July 2026, the Centre approved Semicon 2.0 with a significantly expanded outlay of ₹1,27,500 crore, nearly double the original programme. The upgraded framework targets six priority areas: chip design, semiconductor equipment and materials, fabrication facilities, advanced packaging, research and development, and talent development. Critics and industry analysts have noted that the real test will be whether disbursement timelines keep pace with the headline commitments, given that earlier rounds of production-linked incentives in other sectors saw execution lags.

Electronics Manufacturing: A Decade of Growth

The semiconductor push sits atop a broader electronics manufacturing surge. According to government data, electronics production in India climbed from approximately ₹1.9 lakh crore in 2014-15 to ₹13.11 lakh crore in 2025-26, while electronics exports expanded from around ₹38,000 crore to ₹4.24 lakh crore over the same period. Mobile phone production alone rose from ₹18,000 crore to ₹6.27 lakh crore, with exports surging from roughly ₹1,500 crore to ₹2.59 lakh crore. Notably, India now produces 99.2% of the mobile phones it consumes domestically, completing a shift from net importer to net exporter in the segment.

Talent Pipeline and Industry Outreach

The government has set a target of developing a pool of 85,000 skilled semiconductor engineers over the decade. Under the Chips to Startup programme, electronic design automation (EDA) tools have been deployed across 320 academic institutions, with more than 68,000 students trained to date. Separately, 24 semiconductor design projects have been approved for financial support, while 105 startups and MSMEs have received EDA tool support under the Design Linked Incentive (DLI) scheme. The government's outreach has extended its facilities to over one lakh engineers from more than 500 organisations, including 400 academic institutions and 100 startups. The electronics manufacturing sector currently supports around 2.5 million jobs, according to official figures.

India Joins Pax Silica Coalition

In a related geopolitical development, India formally joined the Pax Silica coalition on the fifth day of the India AI Impact Summit 2026, according to the government. The move signals India's intent to align with emerging multilateral frameworks governing semiconductor supply chains — a space in which the US, EU, Japan, and South Korea have been active through separate bilateral and plurilateral arrangements. SEMICON India 2026, the three-day summit bringing together global semiconductor companies, policymakers, investors, and industry stakeholders, is expected to provide a platform for translating these commitments into concrete partnerships.

With PM Modi set to inaugurate the summit on Thursday, the coming weeks will be closely watched for announcements on specific project timelines, partner country investments, and the first round of Semicon 2.0 disbursements.