Japan’s Semiconductor Companies Deepen India Footprint as Chip Ecosystem Advances

India’s semiconductor programme is increasingly drawing Japanese companies into parts of the chip value chain that extend far beyond fabrication. Japanese participation now covers semiconductor equipment, advanced chemicals, process materials, power devices, outsourced assembly and testing, specialised logistics, measurement systems, research and workforce development.

The shift became particularly visible around SEMICON India 2026, held in New Delhi from September 17 to 19. Japan was one of six countries with a dedicated pavilion at the event, while a series of agreements involving Tata Electronics and Japanese companies demonstrated how India’s emerging fabrication plants are beginning to attract the specialised suppliers required to operate them.

This development coincides with the launch of Semicon 2.0, under which the Government of India has approved an outlay of ₹1,27,500 crore to deepen semiconductor design and manufacturing capabilities. Twelve semiconductor manufacturing projects with total investment of about ₹1.64 lakh crore had already been approved under the earlier programme, creating a domestic market for equipment, materials, packaging technologies and highly specialised engineering services.

India-Japan Semiconductor Cooperation Now Has a Government-Level Framework

The expanding corporate activity rests on a formal India-Japan semiconductor partnership established in 2023 between India’s Ministry of Electronics and Information Technology and Japan’s Ministry of Economy, Trade and Industry.

The cooperation framework covers semiconductor manufacturing, equipment, materials, specialty chemicals, research, advanced packaging, investment and workforce development. India and Japan subsequently widened this cooperation through the India-Japan Digital Partnership 2.0, which calls for stronger links between research institutions, greater investment across the semiconductor supply chain and deeper collaboration in chip-related skills.

At the India-Japan summit in July 2026, semiconductor cooperation was again included among the priority areas under the two countries’ economic-security partnership. The official Indian fact sheet specifically identified Japanese involvement in semiconductor fabrication support, OSAT, equipment, research and talent development as an expanding component of bilateral industrial cooperation.

Fujifilm Moves Into Semiconductor Materials Around Tata’s Dholera Fab

One of the newest additions is Fujifilm, which signed a strategic memorandum of understanding with Tata Electronics on September 17, 2026.

Under the agreement, Fujifilm will develop and supply advanced semiconductor materials tailored to Tata Electronics’ upcoming fabrication plant at Dholera in Gujarat. The companies also intend to work on localisation of critical raw materials and cooperation with Indian chemical manufacturers.

This is strategically important because semiconductor fabs depend on extremely pure chemicals and specialised materials whose specifications are considerably more demanding than those used in conventional manufacturing. Establishing a fab therefore requires not merely semiconductor machinery but a dependable ecosystem capable of supplying chemicals, gases and process materials at consistently high purity.

Fujifilm describes itself as an early mover in developing this materials ecosystem around Dholera. Its entry indicates that India’s semiconductor programme is beginning to generate demand for the less visible but indispensable upstream industries surrounding a wafer fab.

Sumitomo Chemical Examines Semiconductor Chemicals Manufacturing in India

Sumitomo Chemical has taken a similar step. The Japanese chemical major signed an MoU with Tata Electronics in September 2026 to examine cooperation on semiconductor materials for the Dholera facility.

The agreement goes further than simple import supply. Sumitomo Chemical has said it will study the establishment of a stable supply system for semiconductor materials, including the possibility of creating a semiconductor chemicals facility in India.

The distinction is important for India’s localisation strategy. Importing chemicals can enable early fab operations, but local production reduces logistics risks, shortens supply chains and creates domestic capability in materials whose quality and purity directly affect semiconductor manufacturing yields.

A locally established chemical supply chain would also make India more attractive to future fabs because suppliers developed for one anchor project can eventually serve multiple manufacturers.

Sojitz and NRS Build the Logistics Layer Around Dholera

Japanese participation is also extending into the highly specialised logistics required by semiconductor manufacturing.

Tata Electronics signed an agreement with Sojitz Corporation and NRS Corporation on September 18 to develop a semiconductor-materials supply chain for its ₹91,000-crore Dholera fab.

Sojitz brings expertise in chemicals trading, international supply-chain management and business development, while NRS specialises in the movement and storage of chemicals and hazardous materials. The companies will work with Tata Electronics on the supply and storage of critical materials required for semiconductor production.

This part of the ecosystem is easily overlooked. Fabs require continuous delivery of chemicals and process materials under tightly controlled safety, contamination and storage conditions. Building domestic semiconductor manufacturing therefore requires specialised logistics infrastructure alongside the fabrication plant itself.

The Sojitz-NRS agreement illustrates how India’s semiconductor programme is beginning to attract precisely these supporting industries.

Tokyo Electron Connects Japanese Equipment Technology With Indian Fabs

Tokyo Electron, one of the world’s major semiconductor production-equipment companies, already has a strategic relationship with Tata Electronics covering both front-end fabrication and back-end semiconductor packaging.

The partnership was announced in September 2024 and covers equipment infrastructure for Tata Electronics’ Dholera fab as well as its semiconductor assembly and testing facility at Jagiroad in Assam. Tokyo Electron is also supporting equipment training, manufacturing improvement and research and development.

Semiconductor equipment is one of Japan’s strongest positions in the global chip industry. Building a fab in India therefore creates an opportunity not only for chip companies but also for manufacturers of the sophisticated deposition, coating, cleaning, etching and processing systems used across wafer production.

Tokyo Electron has since expanded its own Indian presence. In September 2025, it announced a new development site in Bengaluru, focused on software development, equipment design, simulation and collaboration with Indian universities on next-generation semiconductor technologies.

Tokyo Electron Is Building an Indian Semiconductor Skills Ecosystem

Tokyo Electron is also moving into semiconductor workforce development.

In April 2026, the company confirmed that Japan’s Ministry of Economy, Trade and Industry had selected its proposal to establish a semiconductor manufacturing human-resource development ecosystem in India under Japan’s Global South Future-Oriented Co-Creation programme.

Rather than operating only a short-term training project, Tokyo Electron plans to establish an Indian hub capable of developing engineers in cooperation with companies and educational institutions.

This addresses one of the central challenges confronting every new semiconductor manufacturing country. Modern fabs require engineers who understand highly specialised equipment, process control, contamination management, yield improvement and maintenance. Such expertise cannot be created simply by building manufacturing facilities.

Japan therefore has the potential to contribute to India not only through machinery but by transferring operational knowledge required to use that machinery effectively.

Renesas Has Taken a Direct Stake in Semiconductor Manufacturing in Gujarat

Japan’s involvement is not limited to supplying Indian fabs. Renesas Electronics is directly participating in semiconductor manufacturing through CG Semi in Gujarat.

CG Power and Industrial Solutions, Renesas and Thailand’s Stars Microelectronics formed a joint venture to establish an outsourced semiconductor assembly and test facility at Sanand. The project received approval under the India Semiconductor Mission with planned investment of approximately ₹7,600 crore.

The facility is designed to reach production capacity of up to 15 million semiconductor units per day and manufacture packages ranging from established QFN and QFP formats to more advanced FC-BGA and FC-CSP technologies.

Renesas is contributing semiconductor technology and expertise, while Stars Microelectronics brings packaging technology and training capabilities. CG Power is the majority shareholder.

CG Semi Gives India Access to Japanese Packaging Expertise

The significance of the CG Semi project extends beyond the Japanese equity stake.

Semiconductor packaging determines how a fabricated die connects with the larger electronic system, manages heat and power, and withstands demanding operating conditions. Advanced packaging has become increasingly important as chipmakers seek higher performance without relying exclusively on smaller transistor geometries.

The Sanand operation is intended to serve automotive, industrial, consumer, telecommunications and 5G applications. Renesas also has an offtake commitment associated with the facility, giving the project a connection with an established global semiconductor customer from the beginning.

Renesas has stated that the pilot-line facility is complete and that mass production is scheduled to start by the end of 2026.

Renesas Is Also Building Research and Design Links in India

Renesas’ Indian strategy extends into research, education and semiconductor design.

The company signed an agreement with IIT Hyderabad in 2024 covering research and collaboration in VLSI and embedded semiconductor systems. It subsequently entered agreements involving the Centre for Development of Advanced Computing under the Ministry of Electronics and Information Technology’s Chips to Startup programme.

The Government of India’s India-Japan economic-security fact sheet identifies these partnerships alongside Renesas’ manufacturing investment as examples of growing bilateral semiconductor cooperation.

Together, the manufacturing and research programmes give Renesas a presence across several stages of India’s semiconductor development rather than limiting the relationship to chip sales.

ROHM and Tata Electronics Target Power Semiconductor Manufacturing

Another Japanese semiconductor manufacturer, ROHM, entered a strategic partnership with Tata Electronics in December 2025.

The initial focus is the establishment of a manufacturing framework for power semiconductors in India, combining ROHM’s device technologies with Tata Electronics’ assembly and test capabilities.

Power semiconductors regulate and convert electrical power and are critical to electric vehicles, charging infrastructure, renewable-energy systems, industrial equipment and power electronics. Demand for these devices is expected to grow alongside India’s expansion in electric mobility and clean-energy infrastructure.

The ROHM-Tata arrangement therefore adds another dimension to Japan’s role in India: Japanese semiconductor designs and device technology can increasingly be paired with Indian manufacturing capacity.

HORIBA Brings Semiconductor Measurement and Process-Control Technology

HORIBA, another major Japanese technology company with a substantial Indian presence, is expanding its semiconductor-related activity around measurement, analytical systems and process control.

At SEMICON India 2026, HORIBA India showcased technologies covering material characterisation, chemical-concentration monitoring, fluid control, contamination management, mask inspection, thin-film inspection and semiconductor manufacturing facilities.

These systems occupy another essential layer of semiconductor production. A fab depends on continuous measurements of gas flow, chemical concentration, particle contamination, film thickness and numerous other parameters because tiny variations can affect wafer yield.

HORIBA has also strengthened its Indian research base through the acquisition of Bengaluru-based Pristine Deeptech in February 2026, creating an additional R&D presence for analytical and measurement technologies for advanced materials.

Japan’s Indian Footprint Now Covers Much of the Semiconductor Value Chain

The emerging Japanese footprint can therefore be divided across several complementary segments.

Renesas Electronics has a direct manufacturing role through CG Semi and research partnerships in India. Tokyo Electron supplies semiconductor manufacturing equipment, supports Tata Electronics’ fabs, maintains a development base in Bengaluru and is building a semiconductor-training ecosystem.

Fujifilm is developing advanced semiconductor materials for Tata’s Dholera fab, while Sumitomo Chemical is evaluating both material supply and potential local chemicals manufacturing. Sojitz and NRS Corporation are addressing semiconductor-material sourcing, storage and logistics.

ROHM is pursuing power-semiconductor manufacturing with Tata Electronics, while HORIBA brings measurement, process-control and analytical capabilities required throughout fab operations.

Rather than representing isolated investments, these companies collectively cover equipment, materials, chemicals, devices, packaging, logistics, metrology, research and skills.

Tata Electronics Is Becoming a Major Anchor for Japanese Suppliers

A notable feature of the emerging pattern is the role of Tata Electronics as an industrial anchor.

Its semiconductor fab at Dholera requires investment of approximately ₹91,000 crore, while its semiconductor assembly and test project at Jagiroad involves another ₹27,000 crore. These large facilities generate demand across a wide range of supporting industries that India previously had little reason to manufacture domestically at scale.

Japanese companies can consequently enter India initially to serve an anchor customer while gaining access to a semiconductor market expected to expand as additional fabs and packaging facilities become operational.

This is how established semiconductor clusters typically deepen: a major manufacturer attracts equipment and material suppliers, which then make it easier and cheaper for additional manufacturers to establish operations.

Semicon 2.0 Could Broaden Japan’s Role Further

India’s recently approved Semicon 2.0 programme provides a larger policy framework for the next phase.

The ₹1,27,500-crore programme is structured around semiconductor design, manufacturing, equipment and materials, research and development, supply-chain resilience and talent. It follows the first semiconductor programme, under which the government says Micron, Kaynes and CG Semi have already entered commercial production, with additional projects moving towards operation.

The stronger emphasis on equipment and materials is particularly relevant to Japan because these are areas where Japanese industry possesses significant global capabilities.

India does not need every semiconductor input to be produced domestically immediately. However, attracting major suppliers to establish engineering, training, logistics or manufacturing operations in India can gradually increase domestic value addition while reducing dependence on distant supply chains.

India and Japan Are Moving From Chip Cooperation to Semiconductor Industrial Integration

The deeper significance of Japan’s growing semiconductor presence in India lies in the character of the investment.

The early phase of India’s semiconductor push centred on announcing fabs and packaging facilities. The next phase is increasingly about building everything those plants need to operate: chemicals, materials, equipment, process control, logistics, trained engineers and research capability.

Japanese companies are becoming participants across precisely these layers. Renesas, Tokyo Electron, Fujifilm, Sumitomo Chemical, ROHM, Sojitz, NRS and HORIBA illustrate how the relationship is evolving from broad government-level semiconductor cooperation into company-level industrial integration.

India brings a growing electronics market, engineering talent, new fabrication capacity and substantial public policy support. Japan brings decades of expertise in semiconductor equipment, materials, chemicals, components and precision manufacturing. As these strengths are connected around actual manufacturing projects in Gujarat, Assam, Karnataka and elsewhere, the India-Japan semiconductor partnership is beginning to take the form of a genuine production ecosystem rather than a collection of isolated agreements.

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References

Prime Minister of India — Fact Sheet: India-Japan Economic Security Cooperation, July 2026.
https://www.pmindia.gov.in/en/news_updates/fact-sheet-india-japan-economic-security-cooperation/

Prime Minister of India — Cabinet Approves Semicon 2.0, July 15, 2026.
https://www.pmindia.gov.in/en/news_updates/cabinet-approves-semicon-2-0-government-delivers-on-its-commitment-for-a-long-term-policy-support-to-semiconductors-in-india/

Ministry of Electronics and Information Technology — Annual Report 2025–26: International Collaborations in Semiconductors.
https://www.meity.gov.in/

Ministry of External Affairs — India-Japan Digital Partnership 2.0.
https://www.mea.gov.in/Portal/LegalTreatiesDoc/JP25B4582.pdf

SEMICON India — SEMICON India 2026.
https://www.semiconindia.org/

Tata Electronics — Tata Electronics and Fujifilm Announce Strategic Partnership to Accelerate Semiconductor Materials Ecosystem in India, September 17, 2026.
https://www.tataelectronics.com/w/tata-electronics-and-fujifilm-announce-strategic-partnership-to-accelerate-semiconductor-materials-ecosystem-in-india

Fujifilm — Fujifilm and Tata Electronics Announce Strategic Partnership to Accelerate Semiconductor Materials Ecosystem in India, September 17, 2026.
https://www.fujifilm.com/in/en/news/fujifilm-and-tata-electronics-announce-strategic-partnership-to-accelerate-semicondutor-ecosystem-in-india

Tata Electronics — Tata Electronics and Sumitomo Chemical Sign MoU for High-Quality Semiconductor Materials, September 18, 2026.
https://www.tataelectronics.com/w/tata-electronics-and-sumitomo-chemical-sign-mou-for-high-quality-semiconductor-materials

Sumitomo Chemical — Sumitomo Chemical Signs a Memorandum of Understanding with Tata Electronics to Explore Potential Collaboration on Semiconductor Materials in India, September 19, 2026.
https://www.sumitomo-chem.co.jp/english/news/detail/20260919e.html

Tata Electronics — Tata Electronics, Sojitz Corporation and NRS Corporation Announce Partnership to Develop Semiconductor Materials Supply Chain for Dholera Fab, September 18, 2026.
https://www.tataelectronics.com/w/tata-electronics-sojitz-corporation-and-nrs-corporation-announce-partnership-to-develop-semiconductor-materials-supply-chain-for-dholera-fab

Tokyo Electron — Tokyo Electron and Tata Electronics Announce Strategic Partnership to Grow Semiconductor Ecosystem in India, September 10, 2024.
https://www.tel.com/news/topics/2024/20240910_001.html

Tokyo Electron — Announcement of New Development Site in Bengaluru, India, September 5, 2025.
https://www.tel.com/news/topics/2025/20250905_001.html

Tokyo Electron — Tokyo Electron Chosen for METI’s Global South Future-Oriented Co-Creation Project, April 24, 2026.
https://www.tel.com/news/topics/2026/20260424_001.html

Renesas Electronics — CG Power, Renesas and Stars Microelectronics to Jointly Build OSAT Facility in India, March 1, 2024.
https://www.renesas.com/en/about/newsroom/cg-power-and-industrial-solutions-limited-renesas-and-stars-microelectronics-jointly-build

Tata Electronics — ROHM and Tata Electronics Form Strategic Partnership in the Semiconductor Business, December 22, 2025.
https://www.tataelectronics.com/w/rohm-and-tata-electronics-form-strategic-partnership-in-the-semiconductor-business

HORIBA India — HORIBA India Showcases Advanced Lab to Fab Solutions at SEMICON India 2026, September 2026.
https://in.horiba.com/media-centre/press-release/horiba-india-showcases-advanced-lab-to-fab-solutions-at-semicon-india-2026

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