Japanese companies are showing a strong interest in partnering with Indian firms to establish semiconductor units in the country, according to Deloitte. Highlighting Japan's expertise and specialization in the semiconductor domain, Shingo Kamaya, Deloitte AP and SRT Leader for Deloitte Japan noted that Japanese firms are "super enthusiastic" about India's growing potential in this sector.

Deloitte emphasized the importance of skilled manpower, sufficient funding, and consistent government support to drive the growth of India's semiconductor industry. The organization believes that India has a promising opportunity to strengthen its position in the global semiconductor ecosystem with the right partnerships and policies.

In a significant development earlier this year, Japan became the second Quad nation, after the United States, to sign a memorandum with India for joint efforts in developing a resilient semiconductor ecosystem. The agreement, finalized in July, focuses on semiconductor design, manufacturing, equipment research, talent development, and ensuring supply chain resilience. Japan, which boasts around 100 semiconductor manufacturing facilities, is among the top five nations globally with a robust semiconductor ecosystem. This collaboration with India aims to leverage Japan's experience while addressing global challenges in the supply chain.