UBS Report Predicts India’s Semiconductor Demand to Hit ₹9.3 Lakh Crore by 2030

India’s semiconductor industry is all set for a major leap, with end-demand revenues expected to reach ₹9.3 lakh crore (US$ 108 billion) by 2030. According to a recent UBS report, this growth will be driven by strong electronics demand, favourable policies, and the country’s growing digital economy.

Rapid Growth Expected by 2030

India’s semiconductor demand is projected to double between 2025 and 2030. As per the report, revenues are estimated to increase from ₹4.6 lakh crore (US$ 54 billion) in 2025 to ₹9.3 lakh crore (US$ 108 billion) by the end of the decade. This marks a 15% compound annual growth rate (CAGR), which is faster than the global average.

This rapid expansion is fuelled by India’s young population, increased use of smart devices, and rising demand for advanced technologies across businesses.

Localisation and Global Opportunities

The report also highlights that localisation will contribute significantly, with potential revenues of ₹1.1 lakh crore (US$ 13 billion) by 2030. While this is a positive sign, India still represents a small share of the global semiconductor landscape—just 0.1% of wafer capacity and around 1% of equipment spending.

Still, India makes up about 6.5% of global semiconductor end-demand, showing its strong position as a consumer market.

Shift in Global Supply Chains

With ongoing trade uncertainties, global tech companies are rethinking their supply chain strategies. Many are adopting the “China plus one” model, exploring alternate manufacturing bases like India. This shift is opening new doors for India to become a key player in the global semiconductor ecosystem.

India’s Key Strength: Talent Pool

India’s biggest strength lies in its skilled talent pool. About 20% of global chip designers work in India for leading multinational firms. While China remains dominant in hardware manufacturing, India holds an edge in software and chip design capabilities.

This talent base, combined with supportive government initiatives, makes India a favourable destination for future semiconductor investments.

Conclusion

Despite its current limitations in manufacturing capacity, India is on the right path to becoming a semiconductor hub. With rising domestic demand, global supply chain realignment, and a strong digital workforce, the country has a clear opportunity to scale new heights by 2030.

The coming years could see India move beyond just being a consumer of semiconductors to becoming an integral part of the global supply chain.

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