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Taiwan seeks bigger tech presence in India as U.S. demand rises, trade body chief says
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Taiwan is seeking to double its exports of chips and electronics to India over the next five to seven years as smartphone shipments from the country ramp up thanks to demand from the U.S., the head of the island's main trade body said.
India's smartphone exports to the U.S., which are currently exempt from elevated tariffs, jumped nearly 40% from a year earlier to $8.43 billion in the first five months of the fiscal year that started in April, according to industry estimates, driven largely by demand for Apple's iPhones.
"Electronic industries are driving the growth of trade between our two countries," said James C. F. Huang, chairman of the Taiwan External Trade Development Council, in an interview on the sidelines of the Taiwan Expo trade fair on Thursday. Huang is a former Taiwanese foreign minister.
I believe in the next five to seven years, the trade and investment which we have in India can double.
Major Taiwanese firms have to date invested about $5 billion in Indian manufacturing, according to Taiwanese officials. Last year, Powerchip Semiconductor joined with Tata Electronics in an $11 billion venture to build India's first chip plant to be driven by artificial intelligence. The plant, in Gujarat state, was part of a $10 billion government incentive scheme.
And earlier this year, Apple supplier Foxconn unveiled a $1.5 billion investment in its India unit as it shifted more production out of tariff-plagued China.
Huang downplayed concerns that higher U.S. tariffs on Indian goods could hurt Taiwanese businesses.
"I don't think it's going to affect Taiwan-India trade relations or investment relations," he said, pointing to India's large domestic market and growing opportunities in petrochemicals, textiles and electronics.
Huang said several Taiwanese companies are investing in India, bringing in more components from Taiwan and building a local supply chain to support operations in the country.
Taiwan's exports to India topped $10 billion in 2024, led by chips, electronic components and machinery. Just five years earlier, the total stood at about $4 billion, according to data from the Indian government.
Like most countries, India has no formal diplomatic ties with Taiwan, but they have built a close commercial relationship. Government officials have said New Delhi is eager to draw more investment from the island, a major chip producer.
Published - September 27, 2025 10:29 am IST
technology (general) / internet / gadgets (general) / science and technology / India
Source: The Hindu
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