Govt faces hurdles in wooing Taiwan's chip assembly and testing firms

Companies have concerns on India's ability to provide a stable, predictable, and lasting policy environment for years to come -a key for capital-intensive business

India is facing tough competition from Penang in Malaysia, the Philippines, and Vietnam, as global outsourced semiconductor assembly and test (OSAT) firms based mostly in Taiwan are looking for locations in Asian countries to hedge their geopolitical bets.  The OSAT majors have concerns on India’s ability to provide a stable, predictable, and lasting policy environment for years to come, which is key for making a decision in a capital-intensive business.    

OSAT companies provide assembly and testing services to multiple players.    

Global auto majors and other clients pushed their global OSAT partners to look at alternative locations to mitigate