India’s recent delegation to Eindhoven marks a significant shift in how the country is approaching its semiconductor ambitions.
Rather than sending bureaucrats for symbolic visits, the team was composed of senior officials from the India Semiconductor Mission, including technology director Manish Hooda, alongside representatives from the Indian embassy and Indo-Dutch trade and innovation networks.
These are the individuals directly responsible for converting policy into tangible projects, which signals a serious intent to move beyond rhetoric.
The choice of Eindhoven is deliberate and strategic. It is home to ASML, the world’s only supplier of extreme ultraviolet lithography machines, as well as NXP and a dense ecosystem of Tier-1 and Tier-2 suppliers.
By engaging directly with these choke points in the semiconductor value chain, India is targeting the most critical nodes rather than chasing foundries alone. This demonstrates a sophisticated understanding of where leverage lies in the global industry.
India’s pitch is equally pragmatic. The government is offering up to 50 per cent central subsidies, with an additional 20–25 per cent support from state governments. Eight projects are already underway, and TATA’s multi-billion-dollar fab serves as proof of seriousness. This combination of incentives and demonstrable progress makes India’s offer more credible than mere promises.
Geopolitics adds another layer of opportunity. Dutch firms, constrained by US–China export controls, are actively seeking “China plus one” alternatives. India is positioning itself as that alternative, offering scale, talent, and a rule-of-law environment that appeals to companies wary of overdependence on China. This alignment of global pressures with India’s industrial ambitions is a shrewd move.
Timing is also carefully considered. The Eindhoven trip is not just about immediate deals but about laying the groundwork for deeper strategic partnerships. By initiating deal-origination ahead of major political announcements, India ensures that diplomacy and industrial policy move in tandem, reinforcing each other.
This approach exemplifies effective industrial policy: targeted diplomacy, hard incentives, and a clear sectoral focus. It avoids the trap of slogans and instead builds credibility through concrete actions. In doing so, India is signalling that it intends to be a serious player in the semiconductor ecosystem, not just a hopeful aspirant.
Agencies
