Chip Rush: India Gears Up for Massive $108 Billion Semiconductor Demand

The end-demand revenues of the Indian semiconductor industry will double as compared to $54 billion in 2025 to $108 billion in 2030, as per a report by the financial services firm by UBS.

According to the report, the revenue from the localisation opportunities will stary around $13 billion in revenues by 2030.

Indian semiconductor end market is projected to grow by 15% compound annual growth rate (CAGR) from 2025 to 2030, with annual revenues reaching up to $108 billion in 2030, the report said.

This estimate is faster than UBS's forecast for the global semiconductor end market because of India's favourable demographics fueling strong electronics demand (and in turn semiconductors), increasing enterprise adoption of advanced semiconductor end-demand share, it added.

What Are Major Tech Companies Doing?

According to the UBS report, major tech companies are thinking about relocating their supply chains amid the ongoing tariff uncertainties. "A few companies have already embarked on their "China plus one" strategy by diversifying their assembly locations beyond China," the report said.

India's Semiconductor Story

At 6.5%, India is a solid end-market for global semiconductors, according to the report, with $54 billion in revenues in 2025.

India has its large pool of talent especially in the software and services sector, while China's dominance is in tech manufacturing. Additionally, India has a unique advantage in semiconductors with 20% of the global chip designers working in the country for multinational companies.

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