Lithography scanners, etch and deposition tools and the parts inside them - mostly made by a few US, Dutch and Japanese firms that are now building in India.
Dutch maker of lithography scanners - partner to Tata Electronics' Dholera fab
Compiled from public reporting — not exchange-listed.
Tools are most of a fab's cost. ASML makes lithography scanners; Applied Materials, Lam Research and Tokyo Electron make deposition, etch and cleaning tools. They buy precision parts, vacuum systems and sub-assemblies from suppliers - the part India can realistically win.
Semicon 2.0's 'machines & materials' pillar is new: 30% capital support for equipment and sub-assembly plants (from ₹300 Cr of investment) plus a production incentive of 10% falling to 2% of the domestic value of parts, for 5 years from FY29. At SEMICON India (Sep 2026) Applied Materials announced a US$5bn, 10-year India plan; Lam Research has committed ~₹10,000 Cr.
Equipment makers earn 45-50%+ gross margins globally. Indian suppliers would earn precision-engineering margins on parts and sub-assemblies, a small but fast-growing pool if global toolmakers localise their supply chains.