India’s chip strategy: Build sovereign strengths, partner globally, says Vikram Misri at SEMICON 2026

India’s push for self-reliance in the semiconductor sector does not mean building every part of the supply chain within its borders, but identifying areas where the country needs sovereign capabilities and partnering with trusted global players elsewhere, Foreign Secretary Vikram Misri said at SEMICON India 2026 on Friday.

Misri said India’s approach to Atmanirbharta, or self-reliance, should combine the development of genuine domestic strengths with partnerships with global equipment makers, material suppliers and design companies. Trying to build everything within the country, he said, could lead to higher costs, slower innovation and a less connected industrial base.

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“Self-reliance does not mean building everything within our own borders. No nation on earth does that, and no nation should try,” Misri said.

He said India needed to determine where its capabilities and capacities “must be sovereign” and build them with discipline, while pursuing trusted partnerships with equal discipline in areas where collaboration would serve the country better.

India seeks strength in design, packaging

For India, this means conducting what Misri described as an “honest audit” of both approaches. The country is investing in indigenous capabilities in areas including semiconductor design, packaging and specific manufacturing processes where it has a competitive advantage, while simultaneously inviting global companies to build capabilities alongside India.

“This is where India’s opportunity for companies truly lies,” Misri said.

He pointed to India’s large and growing domestic market, its young and English-speaking engineering and design talent pool, political stability and democratic credibility as key strengths that can support the country’s semiconductor ambitions.

Misri also said predictability was an important consideration for companies making long-term investments in the semiconductor industry, where facilities can take years to build and decades to generate returns.

He urged companies to look beyond immediate costs when evaluating investment destinations and partnerships.

“A slightly higher cost with a steady, predictable partner often beats the cheapest option today,” Misri said, adding that the ability to plan with confidence was itself valuable for an industry requiring long-term investments.

Also read: India must move beyond semiconductor engineering to own products, capture innovation value: Infosys' Vikram Meghal

Partnerships beyond cost

Misri said India’s semiconductor opportunity would be strengthened by partnerships based on complementarity rather than merely convenience, costs or short-term commercial considerations.

He said companies should assess how their own capabilities could complement what India is building, including the combination of design capabilities with manufacturing ambitions, material strengths with market opportunities.

He also called for companies to invest in relationships before they are needed, arguing that durable industrial partnerships are built over years through joint research, shared training and the development of trust.

“Trust once earned is among the most durable assets a company can hold,” Misri said.

India’s ambition, he said, was not to seek dominance in the semiconductor industry but to become a reliable partner for companies looking to participate in the sector.

“It is to be a partner to partner companies actively that they want to play, reliable and honest about its gaps, and genuinely open to the world,” Misri said.

He said SEMICON India provided a platform for governments, industry, academia, investors, established companies and students to build the relationships and joint ventures needed for durable partnerships.

“Trust is not built through policy documents alone, it is built through the handshakes, the discussions, and the deals that gatherings like this one in this very room make possible,” Misri said.

He added that for companies considering their next investment or fabrication line, SEMICON India was where those conversations could begin.

“That is why SEMICON India matters so much,” he said.