India can attract $15 bn Taiwanese investment in electronics, EV infra, says Ficci

India is emerging as a prime destination for Taiwanese investments, with the potential to attract $15 billion across sectors like printed circuit boards (PCBs), electronic components, and electric vehicle (EV) infrastructure, according to a report by the Federation of Indian Chambers of Commerce and Industry (Ficci).

The report, titled Unlocking the Potential: The Benefits of India as a Partner for Taiwanese Enterprises, highlights how India's growing domestic market, lower manufacturing costs, and pro-investment policies create a compelling case for Taiwanese companies to expand their global footprint. 

By 2030, the market demand in five key sectors is projected to hit $170 billion, offering a significant opportunity for Taiwan's high-tech expertise to tap into India’s rapid economic growth, according to the report.

"India’s large and youthful population, growing domestic market, and significant strides in technology and infrastructure are the driving forces behind its economic success, making it a vital economic force that could outpace many of its peers in the years to come," it added.

During FY24, India's exports to Taiwan stood at $1.84 billion in value terms, while imports stood at $8.28 billion, with electronic components and telecom instruments making up for the bulk of imports.

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Ficci's report highlighted the mutual benefits of a stronger partnership between both nations, showing how Taiwanese companies can tap into India's rapid growth while contributing to it through their high-tech expertise.

"Taiwan’s technological advancements combined with India’s expanding market offer a strategic path for both countries to prosper together. India's pro-investment initiatives, including the India Semiconductor Mission (ISM) and the Production-Linked Incentive (PLI) scheme, combined with a strong emphasis on infrastructure and logistics enhancements, position India as an ideal partner for Taiwanese companies seeking global expansion," the report said.

"Taiwan places great importance on long-term sustainability, resilience, and building strong relationships with strategic partners…India holds a particularly advantageous position compared to many Southeast Asian nations in fulfilling these strategic partnership needs," the report added.

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The report said India's emergence as a top destination for investments in sectors such as electronics manufacturing, green energy, electric vehicles (EVs), smart cities, and information and communication technology (ICT) aligns with Taiwan’s expertise and priorities.

"By working together, India and Taiwan can create resilient supply chains, advance new technologies, and address broader global economic challenges," it added.