Japan’s semiconductor push in India: Why Japanese companies are betting on materials, equipment and technology 

When the world talks about semiconductor powerhouses, Japan is not always the first country that comes to mind. But look deeper into the chip supply chain and its importance becomes clear. Japanese companies are major players in semiconductor materials, manufacturing equipment, automation and precision technologies that chipmakers depend on. This expertise is now becoming increasingly relevant to India. As the country moves from announcing fabs and packaging plants to building the wider ecosystem around them, Japanese companies are expanding their presence across several critical layers of the semiconductor supply chain.

During SEMICON India 2026, several Japanese companies announced plans for the Indian market, spanning materials, automation, equipment and technology partnerships.

Aligned with the India Semiconductor Mission (ISM) 2.0 vision, Fujifilm is investing Rs 800 crore ($83 million) in a new greenfield semiconductor materials manufacturing facility in India. Fujifilm India's semiconductor materials business aims to develop the front-end semiconductor materials ecosystem and strengthen local supply chain resilience.

The project will follow a two-phase staggered investment strategy aligned with industry growth and customer demand. Phase 1 is scheduled to break ground in financial year 2026, with commercial production targeted for financial year 2028. The first phase will focus on front-end process chemicals, while Phase 2 will cover semiconductor surface conditioning materials and high-purity chemicals, depending on the pace of development of the semiconductor industry.

Fujifilm is also looking to build a direct link with one of India's biggest semiconductor projects. The company has signed a memorandum of understanding (MoU) with Tata Electronics to leverage its global expertise to develop and supply advanced semiconductor materials for Tata Electronics' upcoming semiconductor fab in Dholera, Gujarat.

While Fujifilm is building the materials layer, Japanese automation and semiconductor equipment maker Hirata Corporation is targeting the manufacturing floor. Through ATS India, the company will make its standard semiconductor automation and material handling portfolio available in the country. This includes Equipment Front End Modules (EFEM), FOPLP load ports, PLP panel handling robots and high-performance wafer handling robots used in semiconductor manufacturing and advanced packaging.

The materials ecosystem is also drawing interest from other Japanese chemical companies. Sumitomo Chemical has entered an MoU with Tata Electronics to supply semiconductor materials, including photoresists, functional chemicals, and high-purity chemicals, such as hydrogen peroxide, isopropyl alcohol, ammonia water, and sulfuric acid, for the upcoming Dholera fab. Tata Electronics will also support Sumitomo Chemical in exploring the manufacture of semiconductor materials and high-purity chemicals in India.

The Japanese presence extends to the technology and engineering side as well. Tokyo Electron is establishing a new development site in Bengaluru, which will focus on software development, including equipment design and simulation. The company also intends to promote joint research on next-generation semiconductor technologies with Indian universities and academic institutions.

The relationship between the two countries' semiconductor industries is not new. In 2024, Japanese chipmaker Renesas entered a joint venture with CG Power for an Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat, providing advanced semiconductor technology and expertise.

Together, these moves point to a deeper Japanese role in India's semiconductor ambitions, extending from materials and chemicals to equipment, automation, software and technology. As India's chip projects move closer to production, Japan's established capabilities across these supporting layers could become an increasingly important part of the ecosystem taking shape around them.