A major step toward building resilient technology supply chains is unfolding as India deepens its role in global semiconductor manufacturing and collaboration. Speaking at an event in Sanand, Gujarat, the US ambassador to India, Sergio Gor, highlighted India’s growing importance during the inauguration of a semiconductor plant set up by US-based Micron Technology by Prime Minister Narendra Modi.
Semiconductors form the backbone of modern innovation, powering smartphones, defence systems, AI applications and autonomous vehicles. The ambassador stressed that secure and resilient supply chains require semiconductor ecosystems across multiple trusted locations worldwide.
“India’s role in the global semiconductor supply chain is not just welcome, it is essential under the leadership of your great PM. As other nations in this neighbourhood aggressively expand production of legacy chips and seek to dominate the sector, India offers the secure and reliable alternative,” the US ambassador said.
He added that the partnership between President Donald Trump and PM Modi continues to strengthen bilateral cooperation. “This $2.75 billion investment represents far more than a new factory. It represents the future of American technology leadership, the strength of the US-India partnership, and our shared commitment to building a resilient supply chain that serves both our nations and the world,” he said.
According to the ambassador, the Sanand facility marks only the beginning. India currently has 10 semiconductor projects worth $19 billion underway, reflecting the country’s long-term vision. He also referred to the U.S.-India COMPACT framework launched during the leaders’ meeting in Washington last February, noting, “At the heart of the framework is the TRUST initiative—transforming the relationship utilising strategic technology. Today’s inauguration embodies that vision.”
India’s focus on chip design and ATMP (assembly, testing, marking and packaging) complements America’s push toward advanced chip manufacturing. Gujarat’s policy support for semiconductor investments was cited as a model for other states. The ambassador noted that several American companies are closely observing opportunities in the region, alongside Micron’s broader $100 billion multi-fab semiconductor project in Clay, New York.
“We are investing in advanced chip manufacturing at home while building trusted partnership abroad. But American leadership isn’t about doing it alone. Its about working with our partners who share common goals and our vision for secure, prosperous future,” said Gor.
Earlier, PM Modi called the Micron plant a symbol of India-US collaboration and highlighted the Pax Silica agreement, stating, ” our collective efforts will also make the global supply chain of critical minerals more secure and reliable,” the PM said. India officially joined the Pax Silica initiative on February 20 to strengthen global supply chains for AI, semiconductors and critical minerals.
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