Rohm and Tata Forge Alliance to Make Power Chips in India, Boosting Modi's Semiconductor Push

Japan's Rohm Co. is partnering with India's Tata Electronics to manufacture power semiconductor devices in India, marking a significant win for Prime Minister Narendra Modi's campaign to build a domestic chip industry. The Japanese electronics group announced the strategic partnership on Monday, confirming a shift from importing its chips to producing them directly on Indian soil.

The deal focuses on power semiconductors, crucial components that manage electricity flow in everything from electric vehicles and renewable energy systems to data centers. For Rohm, this move represents a strategic pivot to tap into India's vast and growing market. For Tata, it's another step in the conglomerate's ambitious push to become a key player in India's nascent semiconductor ecosystem.

This partnership doesn't exist in a vacuum. It directly aligns with the Modi administration's aggressive efforts to lure global chipmakers, backed by substantial financial incentives and the vision of a 'Semicon City'. The goal is clear: reduce reliance on imports and establish India as a credible alternative in a global supply chain heavily concentrated in East Asia.

### PRISM Insight: The 'China Plus One' Strategy in Action

This alliance is a tangible example of the 'China Plus One' strategy materializing. As geopolitical tensions between the U.S. and China continue to simmer, companies are actively de-risking their supply chains, and India is positioning itself as a primary beneficiary. For investors, this signals that India's manufacturing capabilities are gaining credibility. While challenges like infrastructure gaps and the need for a highly skilled workforce persist, the combined force of government will and corporate investment is creating momentum that's hard to ignore.