Indian semiconductor market to double by 2030, hitting $108 billion: UBS report

India’s semiconductor industry is set to undergo rapid growth, with end-demand revenues expected to double from $54 billion in 2025 to $108 billion by 2030, a new report by financial services firm UBS revealed.
The report projected that the country's semiconductor market will grow at a 15 per cent compound annual growth rate (CAGR) over the five-year period. This growth pace, driven by India’s young population, increasing use of advanced chips by businesses, and supportive government policies, is faster than the global average.
The UBS report, quoted by ANI, also highlighted that localisation efforts will play a key role, contributing around $13 billion in revenues by 2030.
At present, India holds just 0.1 per cent of global wafer capacity, spends about 1 per cent on semiconductor equipment annually, and accounts for 6.5 per cent of global semiconductor demand. Despite these modest figures, India is becoming a crucial end market with strong future potential.
The report further pointed out that multinational companies are rethinking their supply chains due to tariff uncertainties, with some already moving final assembly operations out of China under a “China plus one” strategy.
While China leads in tech manufacturing, India’s strength lies in its large pool of software and services talent. In semiconductors too, India stands out with almost 20 per cent of the world’s chip designers work in India for global firms.
Although the US and China remain the biggest markets for semiconductors, India’s $54 billion demand in 2025 reflected its growing importance in the global semiconductor ecosystem.