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    India Semiconductor Materials Market

    ID: MRFR/CnM/46535-HCR
    111 Pages
    Chitranshi Jaiswal
    September 2025

    India Semiconductor Materials Market Research Report: By Product (Fab Materials, Packaging Materials) and By Application (Computers, Communications)- Forecast to 2035

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    India Semiconductor Materials Market Summary

    The India Semiconductor Materials market is poised for substantial growth, projected to reach 4.92 USD Billion by 2035.

    Key Market Trends & Highlights

    India Semiconductor Materials Key Trends and Highlights

    • The market valuation is estimated at 2.44 USD Billion in 2024, indicating a robust starting point for growth.
    • From 2025 to 2035, the market is expected to grow at a CAGR of 6.58%, reflecting increasing demand.
    • By 2035, the market is anticipated to nearly double, reaching 4.92 USD Billion, showcasing significant potential.
    • Growing adoption of semiconductor technologies due to rising electronic device production is a major market driver.

    Market Size & Forecast

    2024 Market Size 2.44 (USD Billion)
    2035 Market Size 4.92 (USD Billion)
    CAGR (2025-2035) 6.58%

    Major Players

    Advanced Micro Devices, Lam Research, Samsung Electronics, Micron Technology, STMicroelectronics, ASML Holding, Tata Chemicals, Texas Instruments, GlobalFoundries, KLA Corporation, Intel Corporation, Applied Materials, NXP Semiconductors, Larsen and Toubro, Indium Corporation

    India Semiconductor Materials Market Trends

    The India Semiconductor Materials Market is witnessing significant trends driven by the rapid growth of the electronics and IT sectors in the country. The government's initiatives, such as the "Make in India" program, are aimed at boosting local manufacturing capabilities, which include semiconductor materials. This policy encourages foreign direct investment and collaboration with global semiconductor companies, positioning India as a key player in the global supply chain.

    A notable trend is the focus on enhancing local production of semiconductor materials to reduce dependence on imports, aligning with the Vision for Aatmanirbhar Bharat, which promotes self-reliance in strategic sectors, including electronics.One of the gaps in the India Semiconductor Materials Market is the lack of investment in research and development in semiconductor technology. India’s blossoming ecosystem of startups has the potential to advance innovation in material science, including fabrication and packaging. Moreover, the growing market for electric vehicles and renewable energy services opens up new opportunities for semiconductor materials in these areas.

    Recently, there seems to be an increase in collaborations between Indian companies and multinational companies for the development of semiconductor technologies. Such partnerships help to strengthen the local skills base while enabling faster implementation of advanced materials, including silicon carbide and gallium nitride semiconductors suited for high-performance applications.

    Furthermore, the emphasis on sustainability is shaping the market, with a rising demand for eco-friendly and recyclable materials to meet environmental regulations. Overall, the India Semiconductor Materials Market is on a transformative path, driven by government support, technological advancements, and evolving industry needs.

    Market Segment Insights

    Semiconductor Materials Market Product Insights

    The India Semiconductor Materials Market is witnessing significant growth, particularly within the Product segment, which includes crucial categories such as Fab Materials and Packaging Materials. Fab Materials are key to the semiconductor manufacturing process, serving multiple functions in the fabrication of integrated circuits. These materials include various chemicals and gases essential for wafer fabrication. The increasing demand for advanced semiconductor technologies and miniaturized devices in India drives the demand for high-quality Fab Materials.Meanwhile, Packaging Materials play a vital role in ensuring that these semiconductors function effectively after production.

    They provide protection from environmental factors and enhance performance features, enabling the transformation of raw silicon chips into functional electronic devices. With the rise of electric vehicles, artificial intelligence, and the Internet of Things in India, the demand for robust and reliable packaging solutions is expected to increase significantly. As domestic production capacity expands, backed by government initiatives promoting semiconductor manufacturing, the relevance of these materials becomes even more pronounced.The India Semiconductor Materials Market benefits from rich local resources and an increasingly skilled workforce, contributing to the growth of these products.

    Overall, advancements in material science and technology will likely shape the future landscape of this segment, ensuring that India can leverage its position in the global semiconductor supply chain. The industry is also aligning itself with sustainability trends by exploring eco-friendly materials and processes, which could present new opportunities within the market landscape.

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    Semiconductor Materials Market Application Insights

    The Application segment of the India Semiconductor Materials Market plays a crucial role in shaping the industry's growth trajectory. This segment encompasses various applications, prominently featuring Computers and Communications. The Computers market is significantly driven by the rapid growth in personal and enterprise computing, influenced by the increased demand for high-performance computing solutions and cloud services.

    Meanwhile, the Communications sub-sector is pivotal as the expansion of 5G networks and mobile communications technologies creates a demand for advanced semiconductor materials to enhance connectivity and data transmission efficiency.Recent government initiatives to support digital infrastructure in India are expected to bolster growth in these segments, aligning with the global shift towards digital transformation. As the market progresses, it reflects a notable trend towards miniaturization and energy efficiency, ensuring that semiconductor materials keep pace with evolving technological demands.

    In essence, strong growth momentum in end-user applications reinforces the significance of the Application segment within the broader India Semiconductor Materials Market landscape.

    Get more detailed insights about India Semiconductor Materials Market Research Report - Forecast by 2035

    Key Players and Competitive Insights

    The India Semiconductor Materials Market is experiencing significant growth, driven by the increasing demand for electronic devices and advancements in technology. As the nation positions itself to become a global hub for semiconductor manufacturing, various stakeholders are competing to establish a strong foothold in this rapidly evolving sector. The competitive landscape is characterized by several multinational corporations and local entities focusing on innovation, supply chain optimization, and strategic partnerships. Factors such as government initiatives, infrastructural improvements, and the burgeoning electronics market in India play pivotal roles in shaping the competitive dynamics of the semiconductor materials sector.

    Companies are investing heavily in research and development to enhance their product offerings and ensure they meet the evolving requirements of downstream applications.Focusing on Advanced Micro Devices in the India Semiconductor Materials Market reveals a company with notable strengths, particularly in its focus on high-performance computing and advanced graphics solutions. Advanced Micro Devices has established a significant presence in India through strategic partnerships and collaborations with local tech firms and research institutes. By leveraging its global expertise while adapting to local market needs, the company has successfully integrated its cutting-edge technologies into the Indian semiconductor landscape.

    Their commitment to innovation has allowed them to remain competitive, as they consistently develop new materials and solutions that cater to the increasing demands of various consumer electronics, thereby contributing to the overall growth of the sector.Lam Research, on the other hand, is recognized for its expertise in critical processes for semiconductor manufacturing, particularly in etch and deposition systems. Within the India Semiconductor Materials Market, Lam Research has developed a strong reputation for its advanced technologies and service offerings that enhance manufacturing efficiency and yield.

    The company’s portfolio includes a wide range of products that support semiconductor fabrication, which are increasingly essential as the industry moves toward smaller nodes and more complex designs. Lam Research has strategically engaged in partnerships and collaborations with local semiconductor manufacturers to foster innovation and ensure the effective implementation of its solutions in India. Furthermore, the company has been involved in mergers and acquisitions to strengthen its market position and expand its capabilities, allowing it to tailor its offerings to meet the unique needs of the Indian market effectively.

    Key Companies in the India Semiconductor Materials Market market include

    Industry Developments

    The India Semiconductor Materials Market is experiencing significant developments, with major players expanding their footprint. In October 2023, Tata Chemicals announced plans to invest in semiconductor-grade materials to strengthen local supply chains, a move supporting the government's initiative to boost domestic manufacturing. Meanwhile, the acquisition of a significant stake by GlobalFoundries in a local fab facilities project indicates a growing interest in India as a manufacturing hub. Lam Research and Applied Materials have also expanded their operations in the country, aligning with the increasing demand for advanced semiconductor production materials.

    Additionally, in September 2023, Intel Corporation confirmed its intention to partner with Indian start-ups focused on semiconductor innovations, underscoring the need for collaborative growth in the sector. The valuation of companies like Micron Technology and STMicroelectronics has surged due to the heightened global demand for chips and materials, potentially impacting their market strategy in India. The preceding years have shown a trend where companies, including Samsung Electronics and Texas Instruments, significantly ramped up their investments and R&D in manufacturing capabilities, establishing India as a critical player in the semiconductor landscape.

    Market Segmentation

    Outlook

    • Computers
    • Communications

    Semiconductor Materials Market Product Outlook

    • Fab Materials
    • Packaging Materials

    Semiconductor Materials Market Application Outlook

    • Computers
    • Communications

    Report Scope

    Report Attribute/Metric Source: Details
    MARKET SIZE 2018 2.34(USD Billion)
    MARKET SIZE 2024 2.44(USD Billion)
    MARKET SIZE 2035 4.92(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 6.558% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED Advanced Micro Devices, Lam Research, Samsung Electronics, Micron Technology, STMicroelectronics, ASML Holding, Tata Chemicals, Texas Instruments, GlobalFoundries, KLA Corporation, Intel Corporation, Applied Materials, NXP Semiconductors, Larsen and Toubro, Indium Corporation
    SEGMENTS COVERED Product, Application
    KEY MARKET OPPORTUNITIES Growing demand for consumer electronics, Government incentives for local manufacturing, Expansion of electric vehicle market, Advancements in 5G technology, Increased investment in research and development
    KEY MARKET DYNAMICS growing demand for electronics, government initiatives supporting manufacturing, advancements in semiconductor technology, rising investments in R&D, supply chain disruptions and challenges
    COUNTRIES COVERED India

    FAQs

    What is the expected market size of the India Semiconductor Materials Market in 2024?

    The India Semiconductor Materials Market is expected to be valued at 2.44 billion USD in 2024.

    What is the projected market size of the India Semiconductor Materials Market in 2035?

    The market is projected to reach approximately 4.92 billion USD by 2035.

    What is the expected compound annual growth rate (CAGR) for the India Semiconductor Materials Market from 2025 to 2035?

    The expected CAGR for the India Semiconductor Materials Market during this period is 6.558%.

    Which product segment is expected to have a higher market value in 2035: Fab Materials or Packaging Materials?

    Fab Materials is expected to have a higher market value at 2.47 billion USD in 2035 compared to Packaging Materials at 2.45 billion USD.

    What was the market value for Fab Materials in 2024?

    The market value for Fab Materials in 2024 is expected to be 1.2 billion USD.

    What is the estimated market share of Advanced Micro Devices in the India Semiconductor Materials Market?

    Advanced Micro Devices is one of the key players in the market, contributing significantly, though exact market share figures are not specified.

    Which company is a major player in the India Semiconductor Materials Market known for its expertise in technology solutions?

    Applied Materials is a major player in the market recognized for its technological solutions.

    What growth drivers are influencing the India Semiconductor Materials Market?

    Key growth drivers include increasing demand for semiconductor applications and advancements in technology.

    How do current global scenarios impact the India Semiconductor Materials Market?

    Current global scenarios such as trade dynamics and technological advancements are influencing the market landscape.

    What was the market size for Packaging Materials in 2024?

    The market size for Packaging Materials is expected to be 1.24 billion USD in 2024.

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