US Companies in India — 2026-09-19
Applied Materials has announced a $5 billion investment plan for India through 2035, marking a significant commitment to the country's semiconductor ecosystem. Concurrently, Intel is being evaluated by major US tech firms like Apple and Amazon for its 14A process, signaling a potential shift in global chip supply chains that impacts Indian manufacturing ambitions. Meanwhile, regulatory tensions persist as India considers making government advisories legally binding on US tech giants, and new US sanctions laws threaten up to 100% tariffs on Indian goods.
US Companies in India — 2026-09-19
Top developments
Applied Materials Commits $5 Billion to India Semiconductor Push
US chipmaking equipment giant Applied Materials plans to invest $5 billion in India through 2035, including the development of a proposed 140-acre semiconductor facility. This announcement coincides with Prime Minister Modi’s flagship chip event, underscoring the strategic importance of India in the global semiconductor supply chain. The investment aims to bolster local manufacturing capabilities and reduce dependency on foreign imports for critical chip components.
Intel’s 14A Process Evaluated by Tech Giants Amid TSMC Constraints
According to a Piper Sandler report, Intel’s next-generation 14A process node is currently being evaluated by Amazon, Apple, AMD, Google, Tesla, Microsoft, NVIDIA, and Qualcomm. With TSMC’s capacity reportedly choked until at least 2028, Intel is emerging as the only viable onshore alternative amidst political pressure for domestic production. This evaluation could reshape the supply chain strategies of US companies operating in or sourcing from India.
EQT Plans $50 Billion Investment in India by 2030
Swedish private equity firm EQT AB is planning to invest $50 billion in India by 2030, with a major focus on data centers and AI infrastructure. The firm is reportedly eyeing a significant opportunity with Adani Group’s data center projects, reflecting the growing confidence of global investors in India’s digital economy. This massive capital influx highlights the scale of infrastructure development required to support AI-driven growth.
New US Sanctions Bill Threatens 100% Tariffs on India
A bill passed by the US House of Representatives threatens to impose tariffs of up to 100% on Indian goods if India continues purchasing Russian oil. The Global Trade Research Initiative (GTRI) has flagged this as a severe risk to bilateral trade relations. This legislative move adds significant uncertainty for US companies relying on Indian supply chains or selling into the Indian market.
Deals, expansion & investment
Valgreens Investment in Chennai US-based Valgreens India Private Limited is set to invest ₹15,300 crore (approx. $1.8 billion) in Chennai, as approved by the Tamil Nadu state government. This investment focuses on expanding manufacturing and logistics operations in southern India, creating jobs and strengthening local industrial capacity.
Regulation & market context
India Proposes Legally Binding IT Advisories India has proposed changes to its IT law to make government advisories and clarifications legally binding on internet platforms such as Meta, Google, and X. This move aims to tighten compliance rules for tech giants and link violations to safe harbour protections, potentially increasing operational risks for US tech companies in India.
Fed Rate Hike Impact on Indian Markets The US Federal Reserve’s recent rate hike has led to a stronger dollar, impacting the Indian rupee, gold prices, and crude oil imports. This monetary tightening increases borrowing costs for US companies operating in India and affects foreign direct investment flows.
On the radar
- Intel IPO Rumors: While Anthropic is targeting an October IPO on Nasdaq, Intel's ongoing evaluations by major tech firms could lead to significant partnership announcements or joint ventures in the semiconductor space.
- Trade Deal Delays: India is holding off on signing a final trade deal with the US due to new investigations into excess industrial capacity, which could delay market access improvements for American exporters. (Note: Background context from earlier reports, but current friction is fresh).
- Data Center Boom: Following EQT’s announcement, other US infrastructure funds are expected to announce similar large-scale investments in India’s data center sector.
By the numbers
- $5 Billion: Applied Materials' planned investment in India through 2035.
- $50 Billion: EQT AB's target investment in India by 2030.
- 100%: Potential tariff rate threatened by the US House bill against India for Russian oil purchases.
- ₹15,300 Crore: Valgreens' investment in Chennai.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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