<h3>Overview</h3>
<p>The <span class="key-term" data-definition="Semiconductors — Materials with conductivity between conductors and insulators, essential for modern electronics; a frequent topic in GS3: Science & Technology.">semiconductors</span> sector received a major push in 2026 when <strong>Prime Minister Narendra Modi</strong> visited the Netherlands (16‑17 May 2026). During the visit, India and the Netherlands elevated their ties to a <span class="key-term" data-definition="Strategic Partnership — A bilateral framework that deepens cooperation across sectors, often used in foreign policy (GS2: Polity).">Strategic Partnership</span> and signed 17 pacts covering chips, critical minerals, defence, migration and renewable energy.</p>
<h3>Key Developments</h3>
<ul>
<li><strong>MoU for a 300 mm fab</strong>: <span class="key-term" data-definition="ASML — Dutch company that is the sole supplier of extreme ultraviolet (EUV) lithography machines, critical for advanced chip making (GS3: Science & Technology).">ASML</span> and Tata Electronics signed a Memorandum of Understanding to set up a 300 mm (12‑inch) semiconductor fabrication plant in <strong>Dholera, Gujarat</strong>. This plant will rely on <span class="key-term" data-definition="EUV lithography — Extreme ultraviolet photolithography that uses 13.5 nm wavelength light to print micro‑chip patterns, enabling smaller, faster chips (GS3).">EUV lithography</span> machines, the only technology capable of producing cutting‑edge chips.</li>
<li><strong>Brain bridge in research</strong>: A Memorandum of Cooperation links <strong>Eindhoven University of Technology</strong>, <strong>University of Twente</strong> with six Indian institutes (IISc Bangalore, IIT‑Bombay, IIT‑Delhi, IIT‑Gandhinagar, IIT‑Guwahati, IIT‑Madras) for joint semiconductor research.</li>
<li><strong>Defence and migration pacts</strong>: Structured tri‑service interaction for defence cooperation and a joint effort to curb irregular migration while facilitating skilled mobility.</li>
<li><strong>GaN plant approval</strong>: The Union Cabinet cleared a Rs 3,068 crore project by <strong>Crystal Matrix Ltd.</strong> to fabricate and assemble <span class="key-term" data-definition="GaN (Gallium Nitride) — Wide‑bandgap semiconductor material that handles higher voltage and frequency than silicon, useful for power electronics (GS3).">GaN (Gallium Nitride)</span> chips for Mini/Micro‑LED displays.</li>
<li><strong>ISM expansion</strong>: <span class="key-term" data-definition="India Semiconductor Mission (ISM) — Government programme launched in 2021 to build a full‑stack chip ecosystem; ISM 2.0 (2026) expands focus to equipment, materials and training (GS3).">India Semiconductor Mission (ISM)</span> 2.0, launched in February 2026, now covers semiconductor equipment, design tools, R&D and supply‑chain resilience.</li>
</ul>
<h3>Important Facts</h3>
<p><span class="key-term" data-definition="EUV lithography — Extreme ultraviolet photolithography that uses 13.5 nm wavelength light to print micro‑chip patterns, enabling smaller, faster chips (GS3).">EUV lithography</span> uses light of 13.5 nm wavelength, close to the X‑ray range. The process projects a mask pattern onto a photosensitive silicon wafer, shrinking the features and allowing multiple passes to build complex circuits.</p>
<p><span class="key-term" data-definition="Moore’s Law — Observation by Gordon Moore that the number of transistors on a chip doubles roughly every two years, driving technology progress (GS3).">Moore’s Law</span> predicts a periodic doubling of transistor count, which translates into higher performance and lower cost. EUV lithography is the key enabler that keeps this trend alive by making smaller nodes economically viable.</p>
<p><span class="key-term" data-definition="GaN (Gallium Nitride) — Wide‑bandgap semiconductor material that handles higher voltage and frequency than silicon, useful for power electronics (GS3).">GaN</span> devices conduct higher voltage, generate less heat and allow tighter stacking, resulting in compact, high‑efficiency power converters and LED modules.</p>
<h3>UPSC Relevance</h3>
<p>For <strong>GS 3 (Science & Technology)</strong>, the article covers emerging chip technology, the role of EUV lithography, and the strategic importance of GaN – all potential prelim and mains topics. For <strong>GS 2 (Polity)</strong>, the elevation to a <span class="key-term" data-definition="Strategic Partnership — A bilateral framework that deepens cooperation across sectors, often used in foreign policy (GS2: Polity).">Strategic Partnership</span> illustrates India’s diplomatic outreach in high‑tech domains. Understanding the MoU framework and the “brain bridge” helps answer questions on international research collaboration.</p>
<h3>Way Forward</h3>
<p>To sustain momentum, India must focus on:</p>
<ul>
<li>Building a skilled workforce through specialised training in <span class="key-term" data-definition="EUV lithography — Extreme ultraviolet photolithography that uses 13.5 nm wavelength light to print micro‑chip patterns, enabling smaller, faster chips (GS3).">EUV lithography</span> and GaN processing.</li>
<li>Ensuring a resilient supply chain for critical materials, chemicals and equipment.</li>
<li>Strengthening public‑private partnerships, especially with global leaders like <span class="key-term" data-definition="ASML — Dutch company that is the sole supplier of extreme ultraviolet (EUV) lithography machines, critical for advanced chip making (GS3: Science & Technology).">ASML</span>, to secure technology transfer.</li>
<li>Leveraging the <span class="key-term" data-definition="India Semiconductor Mission (ISM) — Government programme launched in 2021 to build a full‑stack chip ecosystem; ISM 2.0 (2026) expands focus to equipment, materials and training (GS3).">ISM 2.0</span> roadmap for coordinated investment across design, fabrication and packaging.</li>
</ul>
<p>These steps will help India move from a chip‑consumer to a chip‑producer, aligning with the nation’s broader goal of technological self‑reliance.</p>