Semiconductor PLI: Support for 50% of project cost cleared

The Union Cabinet approved on Wednesday changes to the Centre’s Rs 76,000-crore semiconductor production linked incentive (PLI) scheme, allowing for a uniform fiscal support of 50 per cent of project cost for semiconductor fabs across technology nodes and display manufacturing. It also raised the fiscal support for compound semiconductors, packaging and other semiconductor facilities to 50 per cent from 30 per cent earlier.

Earlier, incentives for semiconductor fabs were based on the size of the node — nodes from 45 nanometre (nm) to 65 nm were offered an incentive of 30 per cent of the project cost, those between 28 nm and 45 nm were offered a 40 per cent support, and only nodes from 28 nm and below were offered 50 per cent fiscal support.