Japan and India Strengthen Semiconductor and Advanced Electronics Supply Chains, Reducing China Reliance
Japan and India are deepening their collaboration in advanced electronics, semiconductor, and critical-mineral supply chains. This initiative aims to diversify production nodes and reduce both countries' reliance on China for strategic inputs. Japanese companies are increasingly relocating manufacturing investments from China to India, driven by geopolitical considerations, market opportunities, and supply-chain risk mitigation. Japan has set a target of ¥10 trillion (approximately US $63 billion) in private investment in India, with a focus on manufacturing semiconductor materials, advanced chemicals, and composites. This strategic shift is intended to create additional Asian production hubs for essential components, thereby reducing concentration risk without requiring a complete economic severance from China. The cooperation extends beyond economic investments to include defense-industrial frameworks, such as the joint development of the UNICORN integrated mast, which incorporates advanced technology fo...