As India's semiconductor ambitions take shape, Henkel, the global industrial adhesives and electronics packaging giant, is positioning itself to support the country's emerging semiconductor ecosystem.
With the Indian government's focus on expanding semiconductor manufacturing, Henkel aims to leverage its established expertise in adhesives and packaging solutions to serve this growing market.
Speaking to Digitimes Asia, Ram Trichur, global market & strategy director of Henkel Adhesive Technologies, Electronics, said that the company's engagement in India's semiconductor sector began in 2018 when it recognized the need to prepare for increased production in the electronics industry.
With the semiconductor sector now gaining significant momentum, Henkel is scaling its involvement to meet the demands of local manufacturers.
"We saw the potential early on and started building a team to support the Indian market as production volumes for key customers were expected to rise," Trichur said.
Henkel's semiconductor strategy in India
Henkel's core business revolves around providing adhesive solutions essential for semiconductor packaging—an integral step in the electronics manufacturing process. The company's offerings include die-attach pastes/films, encapsulation materials, underfills, etc., which enhance the performance and durability of semiconductor devices.
In India, Henkel is already working with key global players in the semiconductor space, although specific details remain confidential.
"Henkel's materials are already agreed to be used by major semiconductor companies in India, supporting their packaging needs," Trichur said.
Henkel's leading portfolio in wire bond packaging aligns well with the country's current semiconductor capabilities, providing a solid foundation as India ramps up its manufacturing infrastructure.
A move towards advanced packaging
In addition to traditional packaging, Henkel is looking to support advanced packaging technologies, which are increasingly critical in sectors such as AI, mobile processing, and autonomous vehicles.
Advanced packaging architectures, such as flip-chip and fan-out designs, require specialized materials, and Henkel is responding to this demand with a range of underfills, encapsulants, and adhesives.
"We've seen a growing interest from India's semiconductor manufacturers in advanced packaging, which was a pleasant surprise for us," Trichur said.
The company has launched several advanced products, including large-die capillary underfill materials, specifically designed to handle the challenges posed by AI chipsets and large mobile processors. Henkel is also focusing on conductive adhesives and wafer-level packaging solutions to cater to this expanding market.
Applications lab in Chennai
To further support India's semiconductor ambitions, Henkel is expanding its local infrastructure.
By early 2025, the company plans to open an applications lab in Chennai, which will play a key role in providing local customers with access to rapid testing and troubleshooting capabilities. The lab will also serve as a collaborative space for co-creating new solutions with customers.
"The new lab will enable faster material characterization and qualification processes, allowing us to better support semiconductor and electronics manufacturers in India," Trichur said.
Henkel's growing presence in India is part of a broader strategy to localize its operations and support the country's efforts to become a semiconductor manufacturing hub. The company already has a strong footprint in India, particularly in its adhesives business, and it plans to shift volumes to local production sites as needed to meet the growing demand for electronics and semiconductor packaging materials.
Challenges and opportunities ahead
India's semiconductor sector, though promising, is still in its early stages, and Henkel acknowledges that there are challenges ahead. Trichur emphasized the importance of infrastructure development, particularly in logistics and talent availability.
"The speed at which India implements manufacturing capacity and develops qualified talent will be crucial for the success of the semiconductor sector," Trichur said.
To address these challenges, Henkel is working closely with both international and Indian partners. The company has been investing in upskilling its engineers, particularly in semiconductor packaging, to meet the demands of local manufacturers.
In terms of logistics, Henkel has been focusing on cold storage and supply chain management, which are essential for delivering its temperature-sensitive products.
"We haven't faced major logistical issues yet, but as demand grows, we're taking steps to ensure smooth cold chain operations for our products," Trichur added.
As India continues to build out its semiconductor ecosystem, Henkel remains optimistic about the country's potential to become a key player in the global supply chain. With its deep expertise in electronics packaging and its commitment to localizing operations, Henkel is well-positioned to support India's semiconductor journey.
"India is a market with tremendous growth potential, and we're excited to be part of its development," Trichur concluded.
