Taiwan’s Big Tech Push into India: Exports to Double in 5–7 Years?
Taiwan plans to double its electronics and chip exports to India within 5–7 years, betting on India’s fast-rising role in global supply chains and surging demand for devices assembled in India (including iPhones). The target was outlined by James C. F. Huang, chairman of Taiwan’s trade body, during the Taiwan Expo in India.
Taiwanese investments in India have already crossed an estimated $5 billion across electronics manufacturing, with deeper moves underway in semiconductors and components. Despite tariff uncertainties, Taiwan’s industry sees India’s scale and incentives as strong tailwinds for continued expansion.
What’s driving this
- U.S. demand pull: Rising smartphone shipments from India are strengthening Taiwan–India trade even without formal diplomatic ties.
- Semiconductor beachhead: Powerchip (PSMC) partnering with Tata Electronics on an ~$11 billion fab project in Gujarat under India’s chip incentives.
- iPhone supply chain: Foxconn has committed fresh investment to expand India capacity as production diversifies beyond China.
- Policy momentum: Approvals like the HCL–Foxconn chip unit add display-driver and wafer capacity under the India Semiconductor Mission.
Signals to watch
- Trade framework: Progress on India–Taiwan trade agreements or tariff relief to lock in supply-chain shifts.
- Factory ramp-ups: New handset/component lines coming online through 2026–27, especially in southern India.
- Talent & R&D: Multi-year India hiring and engineering center expansions by Taiwanese firms.
Why it matters for India
- Jobs & skills: Higher-value component and chip work can deepen the electronics ecosystem.
- Export mix: Faster electronics growth can lift overall merchandise exports.
- Resilience: Diversifying away from single-country dependencies reduces geopolitical risk.
Labels:
India • Taiwan • Semiconductors • Electronics • Supply Chains • Investments
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