US-based Micron Technology is closing in on a massive investment agreement for India. The deal – ammounting to at least $1 billion – could be announced next week during Prime Minister Narendra Modi’s state visit. While an official confirmation is yet to come reports suggested that the committment could go up to $2 billion.
A Bloomberg cited people with with knowledge of the matter to say that the company was close to an agreement toward setting up a semiconductor packaging factory in India. The amount of money committed may ultimately go up to $2 billion. An announcement could be made as soon as when Prime Minister Narendra Modi visits the US next week.
The details are however subject to change as discussions are still in progress and there is no guarantee about the finalised agreement.
Earlier in the day, the US-based company had announced plans to invest more than $600 million in a packing and testing factory in northern China. The development came less than a month after Beijing banned its chips from critical infrastructure projects.
The deal with India – apart from marking a major win for the goverment’s Make in India initiative – would also offer the US an opportunity to strengthen key supply chains outside of China.
Modi starts his first formal state visit June 21, with President Joe Biden hosting him for a banquet the following day. The Indian leader will also address the US Congress. Modi has pledged $10 billion to woo chipmakers to India, promising his administration will bear half the cost of setting up all semiconductor sites.
(with inputs from agencies)
Download The Mint News App to get Daily Market Updates.
More
Less
Updated: 16 Jun 2023, 11:01 PM IST
For all the latest world News Click Here
