India's chip packaging plants start exporting, but scale, skills, and subsidies test the next phase

What happened

India's outsourced semiconductor assembly and test (OSAT) sector has moved from inaugurations to its first export shipments, and the challenge now is scale. According to the report, the new plants are small and still rely on foreign engineers and partners, and the government's second subsidy round offers less support for conventional packaging than the first. Japanese chipmakers are among the earliest customers, but they are spreading work across several Indian partners rather than building their own plants.

Impact and signal

Affected components and suppliers

Source and time

Source: DigiTimes Asia · 10/7/2026 · View original source