According to Bloomberg News, on September 23, the White House released news that the United States and India signed an agreement to jointly establish a semiconductor factory in India to support Indian Prime Minister Narendra Modi's manufacturing development plan.
The announcement came after Modi met with US President Joe Biden during his visit to the United States, which the White House described in a joint statement as a "watershed moment." The two sides also said they will strengthen cooperation and research between the United States and India in semiconductor technology and other fields.
The plant will reportedly be named "Shakti" and will focus on the production of infrared, gallium nitride and silicon carbide semiconductors. It focuses on three key areas: advanced sensing technology, advanced communication technology and high voltage power electronics. These products will be widely used in the national security field.
The project will be supported by the Indian Semiconductor Program and will be part of a strategic technology collaboration between Indian startup Bharat Semi, Indian image sensor company 3rdiTech, and the US Space Force.
According to the Indian "Economic Times" reported that this is the first time that the US military will set up such a factory in India, which will become the first factory in India to focus on the needs of semiconductor equipment in the military field. According to the report, India's young chip engineers can help the US military significantly reduce the cost of manufacturing such products. Us technology transfer to India has also made India one of the few countries in the world capable of manufacturing such products.