By BD Narayankar

Bengaluru, Jan 24 (UNI) In a significant development for India’s burgeoning semiconductor sector, Richard Chen, Director of the Taipei Economic and Cultural Centre (TECC) in Chennai, has expressed strong optimism about the ongoing collaboration between Tata Electronics and a Taiwanese partner.

The partnership aims to establish a semiconductor fabrication plant in India, marking what Chen describes as a "promising start" for deeper Indo-Taiwan cooperation in the high-tech industry.



Speaking exclusively to UNI on the sidelines of IMTEX 2025 in Bengaluru, Chen hailed the collaboration as a vital step forward in strengthening economic ties between the two countries. "This partnership, with Taiwan providing essential technical support to Tata, is a significant milestone," Chen remarked.

"While the fabrication plant is still a few years away from completion, it represents a key move towards building India’s capacity in semiconductor manufacturing."



The proposed fabrication plant is set to play a pivotal role in helping India develop self-sufficiency in semiconductor production, an area of critical importance in today’s digital economy. According to Chen, this venture will not only strengthen the ties between India and Taiwan but will also have a profound impact on the region's small and medium-sized enterprises (SMEs).

"Small and medium-sized companies form the backbone of any thriving economy, but they often face challenges in accessing global markets. By providing technical support and creating an ecosystem for growth, this project will be a game-changer for these enterprises, integrating them into the global technology landscape," he explained.



Chen’s remarks underscore the broader significance of the project, with implications for both nations’ economic futures. He believes that this venture, while still in its early stages, will pave the way for further innovation and deeper collaboration between Taiwan and India, especially in the semiconductor and AI sectors.

Taiwan's leadership in semiconductor manufacturing is well established, and Chen took the opportunity to highlight its global dominance. Taiwan’s semiconductor industry is not only integral to its economy, accounting for approximately 20% of the nation’s GDP, but it is also a critical player in the global tech supply chain. "Taiwan is currently the only country capable of producing chips for artificial intelligence at such a large scale," he pointed out.

One of the key players in this space is Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest semiconductor foundry. "TSMC, which alone generated about $100 billion in revenue last year, remains the most renowned player in this field," Chen added, emphasizing Taiwan’s unparalleled expertise in chip manufacturing.



This growing Indo-Taiwan partnership in the semiconductor sector comes at a time when both countries are looking to boost their technological capabilities and reduce dependence on foreign imports. With India aiming to become a global leader in technology and Taiwan seeking to diversify its semiconductor supply chains, the collaboration promises to deliver mutual benefits in the years ahead.



As India looks to establish itself as a semiconductor hub, initiatives like the Tata-Taiwan venture are key to unlocking the full potential of the country’s tech industry, helping it become more self-reliant while fostering international partnerships that drive innovation.

Chen concluded, "This is just the beginning, and we are confident that this project will lay the groundwork for future developments, bringing long-term benefits to both India and Taiwan in the field of advanced technology."



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