The U.S. State Department is partnering with India's government to scale up semiconductor manufacturing.
The initiative will fall under the umbrella of the U.S. State Department's International Technology and Innovation Fund (ITSI), which promotes global partnerships in order to develop and strengthen the U.S. semiconductor supply chain. India's role within the ITSI will start with a "comprehensive assessment" of the country's semiconductor industry, and what it needs for expansion efforts, particularly related to its workforce and infrastructure. That will include collaborations with local governments, educational institutions, research centers and private companies.
"The United States and India are key partners in ensuring the global semiconductor supply chain keeps pace with the global digital transformation currently underway," the State Department said in a September 9 news release. "This collaboration between the United States and India underscores the potential to expand India’s semiconductor industry, to the benefit of both nations."
The ITSI is funded by $500 million from 2022's CHIPS Act, with the money spread out over five years starting in 2023. Other partner nations include Costa Rica, Mexico, the Philippines and Vietnam, where projects range from the sourcing of rare metals that go into fabricating semiconductors, to developing economic policies to incentivize manufacturing.
