[UPDATE] India wants Samsung to build a semiconductor plant locally

Update: April 07, 2022

Recently, Samsung Electronics Vietnam and the Da Nong government had a meeting and the former asked for investment. The company’s investment in Vietnam reached US $1.8 billion at the end of last year. The company is currently the largest foreign investor in Vietnam and has six plants and R&D centers there.

According to industry sources, Samsung Electronics’ new plants in Da Nang and Tamil Nadu are not currently available as the company is investing in large plants in Pyeongtaek, Taylor, South Korea, and Texas. Samsung Electronics said that everything was still in the air as per the requests of Da Nang and Tamil Nadu.

April 05, 2022 

According to a recent report by Korean Media, the Indian government has requested Samsung Electronics to build a semiconductor factory in India. India plans to attract semiconductor giants with subsidies to expand semiconductor production.

As per the Indian media reports, the Chief Minister of Tamil Nadu M.K. Stalin made the request to Samsung Electronics. The Indian government prepared a US$10 billion incentive plan in 2021 to promote semiconductor production.

The semiconductor consumption in India is expected to grow from US$21 billion in 2019 to US$400 billion in 2025, according to the KOTRA Mumbai Trade Center and the India Electronics and Semiconductor Association (IESA).

India lacks semiconductor production capacities. The Indian semiconductor design market expanded from US $14.5 billion in 2015 to US $52.6 billion in 2020, but the nation does not have enough factories to produce chips.

Samsung Electronics entered India in 1995. The Korean tech giant is producing home appliances in India, including QLED TVs, The Frame, and refrigerators.

However, there is no Samsung semiconductor plant in India. Semiconductor factories are established with customers in mind. In this respect, India does not have advantages over the United States or China.