Finance
India Seeks Dutch Knowhow in Semiconductor Push
Published by Global Banking & Finance Review®
Posted on March 4, 2026
3 min readLast updated: April 2, 2026
Add as preferred source on GoogleGlobal Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on March 4, 2026
3 min readLast updated: April 2, 2026
Add as preferred source on GoogleOn March 4, an Indian trade delegation visited Eindhoven to court Dutch chip‑equipment firms, offering up to 50% federal and 20–25% state subsidies. India positions itself as a “China‑plus‑one” hub, engaging ASML, NXP and more, ahead of a strategic partnership expected later in 2026.
By Toby Sterling
EINDHOVEN, Netherlands, March 4 (Reuters) - A trade delegation from India visited the Dutch semiconductor hub of Eindhoven on Wednesday to discuss investment opportunities as New Delhi accelerates its efforts to build a domestic chip industry.
India has pledged billions of dollars in subsidies to attract semiconductor fabrication plants and related manufacturing, with eight projects underway including a $14 billion Tata Electronics facility in Gujarat.
Meanwhile, Dutch semiconductor firms are seeking new markets and geographical diversification amid export controls and trade restrictions linked to U.S.-China technology rivalry.
“It’s clear there are opportunities for Dutch firms, in the first place for equipment exports,” and later as a base for manufacturing, given India’s large engineering workforce, said Michiel Smit of the Netherlands Enterprise Agency (RVO).
Manish Hooda, technology director at the India Semiconductor Mission said Dutch firms pursuing a “China-plus-one” manufacturing strategy should consider India as their production base outside China.
“We are quite open if they are interested in setting up operations in India,” Hooda said.
The Eindhoven region is home to leading chip equipment maker ASML and dozens of its top suppliers. Chipmaker NXP Semiconductors is also headquartered there.
ASML disclosed last week it plans to open a support office in India. A spokesperson declined to give further details.
India’s subsidy program launched in 2021 covered up to 50% of project costs, with state governments offering an additional 20% to 25%, Hooda said. A second program slated for approval March 30 could be even larger, he added.
Smit said about 50 to 60 Dutch firms had requested meetings with the Indian delegation.
Indian engineers already form a significant part of the Dutch tech workforce. According to statistics agency CBS, the number of Indians in the Netherlands tripled to 89,000 in 2024 from 2014, with more than 10,000 living in the Eindhoven region.
The two countries hope to announce a strategic partnership during a planned visit by Indian Prime Minister Narendra Modi later this year.
(Reporting by Toby Sterling;Editing by Elaine Hardcastle)
The delegation visited Eindhoven to discuss investment opportunities and collaborate with Dutch semiconductor firms to boost India's domestic chip industry.
India offers subsidies covering up to 50% of project costs, with additional state government support of 20-25% for semiconductor manufacturing.
A $14 billion Tata Electronics semiconductor fabrication plant is currently being developed in Gujarat.
Dutch firms see India as a promising market and production base for semiconductor manufacturing as part of a 'China-plus-one' strategy.
Indian engineers form a significant portion of the Dutch tech workforce, especially in Eindhoven, reflecting strong India-Netherlands tech ties.
Explore more articles in the Finance category
