India in a joint project with the United States will set up a semiconductor fabrication plant to produce chips for military hardware and critical telecommunications and electronics. It also involves a strategic technology partnership among Bharat Semi, 3rdiTech, and the US Space Force.
The India-US semiconductor fabrication partnership has been hailed as a watershed arrangement. This project, supported by the India Semiconductor Mission, will focus on three crucial areas for modern warfare advancing – advanced sensing, advanced communications, and high-voltage power electronics.
The semiconductor fabrication plant will enhance mutually beneficial linkages in research and development in chip manufacturing. It is being touted as one of the world’s first multi-lateral fabs for national security.
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Secure and Sustainable Semiconductor Supply Chains
India and the US have joined hands to facilitate resilient, secure, and sustainable semiconductor supply chains for their respective automotive markets. Both countries will allocate $90+ million over the next five years for the US-India Global Challenges Institute to support high-impact R&D partnerships between their respective universities and research institutions.
India and the US will also cooperate across AI, quantum, and other critical technology areas. They highlighted progress under the US-India Defense Industrial Cooperation Roadmap. It includes ongoing collaborations to advance priority co-production arrangements for jet engines, munitions, and ground mobility systems.