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World News | India, US Partnership to Explore Opportunities for Growth, Diversification of Global Semiconductor Ecosystem

Get latest articles and stories on World at LatestLY. India and the US have agreed to work together to explore opportunities for the growth and diversification of the global semiconductor ecosystem as the two countries are key partners in ensuring that the semiconductor supply chain keeps pace with the digital transformation currently underway, an announcement said on Monday.

World News | India, US Partnership to Explore Opportunities for Growth, Diversification of Global Semiconductor Ecosystem

Washington, Sep 9 (PTI) India and the US have agreed to work together to explore opportunities for the growth and diversification of the global semiconductor ecosystem as the two countries are key partners in ensuring that the semiconductor supply chain keeps pace with the digital transformation currently underway, an announcement said on Monday.

The US Department of State announced entering into a partnership with India's Semiconductor Mission launched by the Ministry of Electronics and IT to explore opportunities to grow and diversify the global semiconductor ecosystem under the International Technology Security and Innovation (ITSI) Fund created through the CHIPS Act of 2022.

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“This partnership will help create a more resilient, secure, and sustainable global semiconductor value chain,” a State Department statement said.

The initial phase includes a comprehensive assessment of India's existing semiconductor ecosystem and regulatory framework as well as workforce and infrastructure needs, it said.

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The US anticipates that key Indian stakeholders such as state governments, educational institutions, research centres, and private companies will participate in this analysis steered by the India Semiconductor Mission.

The insights gained from the assessment will serve as the basis for potential future joint initiatives to strengthen and grow this critical sector, it said.

“The United States and India are key partners in ensuring the global semiconductor supply chain keeps pace with the global digital transformation currently underway. Manufacturing of essential products ranging from vehicles to medical devices relies on the strength and resilience of the semiconductor supply chain. This collaboration between the US and India underscores the potential to expand India's semiconductor industry to benefit both nations,” the statement said.

In August 2022, US President Joe Biden signed the CHIPS Act, a US law that appropriated new funding to boost domestic manufacturing and research of semiconductors in the United States.

The CHIPS Act also created the ITSI Fund which provides the US Department of State with USD 500 million (USD 100 million per year over five years from Fiscal Year 2023) to promote the development and adoption of secure and trusted telecommunications technologies, secure semiconductor supply chains, and other programmes and initiatives with our allies and partners.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)