US and India Partner to Bolster Global Semiconductor Ecosystem under CHIPS Act

The US Department of State and India's Semiconductor Mission joined forces to enhance the global semiconductor ecosystem. This move aims to strengthen supply chains, foster innovation, and solidify US-India strategic ties, all under the CHIPS Act of 2022. Joint initiatives and substantial investments highlight this growing partnership.

The US Department of State is collaborating with India's Semiconductor Mission and the Ministry of Electronics and IT to explore opportunities for enhancing the global semiconductor ecosystem under the CHIPS Act of 2022, according to a statement by the US Department of State. This partnership aims to create a more resilient, secure, and sustainable global semiconductor value chain.

In a video posted by the US-India Strategic Partnership Forum, Kurt Campbell, US Deputy Secretary of State, emphasized the strategic importance of expanding the US-India partnership under the Biden-Harris administration. He highlighted the significant progress achieved since the launch of INDUS-X, aiming to strengthen ties and tackle strategic challenges together.

Campbell stated that INDUS-X will serve as a cornerstone for the US-India Initiative on Critical and Emerging Technology (ICET). He noted the progress in various sectors, including space semiconductors, advanced telecommunications, artificial intelligence, biotechnology, and clean energy, marking the deepening of defence innovation cooperation between the two nations.

Discussing defence, Campbell mentioned that the collaboration will maintain a critical advantage for the armed forces, citing steps to increase operational coordination and technology transfer. He also announced awards of $1.2 million in seed funding to US and Indian companies under INDUS-X's joint challenges.

The partnership includes a comprehensive assessment of India's semiconductor ecosystem. Key stakeholders will participate in this analysis, aiming to strengthen and grow the sector. The CHIPS Act, signed by US President Joe Biden in 2022, allocated $500 million to promote secure semiconductor supply chains and other strategic initiatives.

(With inputs from agencies.)