Lok Sabha Question No. 2799 (UNSTARRED), answered on 2023-12-20
Subject: Imports of Semiconductor Chip
Ministry: ELECTRONICS AND INFORMATION TECHNOLOGY
Asked by: Balashowry Vallabbhaneni

## GOVERNMENT OF INDIA MINISTRY OF ELECTRONICS AND INFORMATION TECHNOLOGY

## LOK SABHA

## UNSTARRED QUESTION NO. 2799

TO BE ANSWERED ON: 20.12.2023

## IMPORTS OF SEMICONDUCTOR CHIP

## 2799.     SHRI BALASHOWRY VALLABHANENI:

Will the Minister of ELECTRONICS AND INFORMATION TECHNOLOGY be pleased to state:

- (a) whether Semiconductor chip imports are going up since 2020-21 and if so, the details thereof;
- (b) whether it is a fact that in spite of announcements made to stop Semiconductor chip imports from China, there is considerable increase of Semiconductor chip imports from China;
- (c) whether it is also a fact that Semiconductor chip imports from China have gone up from Rs. 24,604 crores in 2020-21 to Rs. 37,681 crores;
- (d) if so, the details thereof along with the reasons therefor; and
- (e) whether it is true that Foxconn has refused to set up its plant in the country and if so, the details thereof?

## ANSWER

## MINISTER OF STATE FOR ELECTRONICS AND INFORMATION TECHNOLOGY (SHRI RAJEEV CHANDRASEKHAR)

(a), (b), (c) and (d): Government of India envisions to position India as a global hub for Electronics System Design and Manufacturing (ESDM) by encouraging and driving capabilities in the country for developing core components, including chipsets. Government of India's goal is to broaden and deepen  the  country's  electronic  manufacturing  ecosystem  as  well  as  growing  India's  share  in trusted electronics Global Value Chains (GVCs). Government has taken several measures to boost electronics manufacturing including semiconductors in the country and incentivize large investments in the electronic goods and appliances as well as to promote exports. As a result of several initiatives taken by the Government and efforts of the industry, the domestic production of electronic goods has increased substantially from INR 1.90 lakh crore (USD 29 Billion) in 2014-15 to  INR  8.22  lakh  crore  (USD  101  Billion)  in  2022-23  at  a  Compound  Annual  Growth  Rate (CAGR) of approx. 20%. Consistent with almost every leading electronics manufacturing nation, growth  in  electronics  manufacturing  is  accompanied  by  proportionate  growth  in  usage  of semiconductors. India has also witnessed similar trend in usage of semiconductors over last few years.

Government is very focused on its objective of building the overall semiconductor ecosystem and ensure that, it in-turn catalyses India's rapidly expanding electronics manufacturing and innovation ecosystem. Government has approved Semicon India programme with a total outlay of INR 76,000 crore for the development of semiconductor and display manufacturing ecosystem in the country. The  programme  aims  to  provide  financial  support  to  companies  investing  in  semiconductors, display manufacturing and design ecosystem. This will pave the way for India's growing presence in the global electronics value chains.

Under  the  Semicon  India  programme,  the  first  semiconductor  unit  by  Micron  was  approved  in June, 2023. The construction work of the unit has started.

(e): Foxconn  has  submitted  its  application  under  the  'Modified  Scheme  for  setting  up  of Semiconductor Fabs in India' for the establishment of Semiconductor Fab in the Country.

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