Taiwan supplies 75% of the chip to India that need in electronic devices like smartphones, as per estimates by the Indian Cellular and Electronics Association (ICEA), which represents global and domestic manufacturers. Current geo-political tension and supply-chain disruption make harder for India to access chips on time. Shortages of chips can be seen in various sectors in India including automobile and smartphones.
India is the biggest market for smartphones and it has a huge consumption for electronic devices. As Indian telecom companies are foraying into 5G, the demand for chips will only increase. New 5G enabled devices will increase more demand for semiconductor chip. Global supply chain is very volatile which can be hampered anytime. Pandemic and geo-political conflict have disrupted the chip supply and created huge losses for the industry.
A few months back, Minister of Electronics and IT, Ashwini Vaishnav said that India will need at least 10 semiconductor fabrication units in the coming years and the government is ready to invest in several more projects. For that purpose, India has recently launched “India Semiconductor Mission” to make India self-sufficient and give boost to India’s booming electronic and automobile industry. Moreover, it aims to make India a global manufacturing hub and increases participation in global semiconductor chip supply chain.
Taiwan position globally in Semiconductor chip
Taiwan’s position for a semiconductor chip is very important for the world. Taiwan chip manufacturer claims to have 10% domination of the world chip market. While Taiwan semiconductor Manufacturing corporation (TSMC) has a 53% share in the global foundry market. Zee News