PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1909275
PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1909275
The India semiconductor manufacturing equipment market is witnessing steady growth as the country strengthens its domestic semiconductor ecosystem and advances large-scale electronics manufacturing capabilities. The market is valued at USD 2.6 billion in 2025 and is projected to reach USD 4.9 billion by 2032, growing at a CAGR of 9.4% during the study period from 2019 to 2032. Rising investment in semiconductor fabrication, increasing demand for advanced chips, and government-led initiatives to localize semiconductor production are driving sustained market expansion.
Semiconductor manufacturing equipment plays a critical role in wafer fabrication, packaging, testing, and quality assurance processes. Growing adoption of advanced nodes, increased demand from automotive electronics, consumer devices, data centers, and industrial applications are strengthening equipment demand. Policy support for semiconductor fabs, supply chain development, and technology partnerships is further reinforcing long-term market momentum.
Gujarat represents the largest state-level market, supported by major semiconductor manufacturing initiatives, strong industrial infrastructure, and investment inflows, while Karnataka is emerging as the fastest-growing state due to its robust technology ecosystem, expanding R&D activity, and rising focus on semiconductor design and manufacturing support services. As India accelerates its semiconductor ambitions, the manufacturing equipment market is expected to maintain consistent growth throughout the forecast period.
Key Insights
The India semiconductor manufacturing equipment market is valued at USD 2.6 billion in 2025 and is expected to reach USD 4.9 billion by 2032, reflecting steady long-term growth driven by domestic semiconductor expansion.
The market is projected to grow at a CAGR of 9.4% during 2019-2032, supported by rising investment in fabrication and packaging infrastructure.
Increasing demand for advanced chips across automotive, consumer electronics, and industrial applications is strengthening equipment adoption.
Gujarat accounts for the largest share of the market, driven by major semiconductor manufacturing projects and strong industrial development.
Karnataka is the fastest-growing state, supported by a strong technology ecosystem and growing focus on semiconductor innovation and support services.
Government initiatives aimed at strengthening the domestic semiconductor value chain are reinforcing long-term market growth.
Expansion of wafer fabrication and advanced packaging facilities is increasing demand for precision manufacturing equipment.
Rising collaboration with global semiconductor technology providers is enhancing equipment capability and know-how.
Growth in electronics manufacturing and digital infrastructure is supporting sustained equipment demand.
Continued investment in semiconductor infrastructure, technology development, and supply chain localization is expected to sustain long-term growth in the India semiconductor manufacturing equipment market.