Refex Signals Energy–Semiconductor Convergence in India’s Industrial Growth Story

India’s semiconductor narrative is expanding beyond fabrication into a wider industrial ecosystem linked to electronics manufacturing, energy systems, and infrastructure. As renewable energy, electric mobility, and industrial automation scale, semiconductor dependence is becoming more deeply embedded across the economy.

This is particularly visible in renewable energy. Wind and solar systems rely on semiconductor-enabled technologies for power conversion, control systems, grid synchronisation, and performance optimisation. In wind turbine manufacturing, inverters, sensors, and control electronics are central to efficiency and reliability, making power electronics a critical layer within the value chain.

This linkage becomes especially relevant as India pushes to deepen domestic wind turbine manufacturing. A stronger local wind manufacturing ecosystem will not depend only on blades, towers, and nacelles, but also on high-value electronic systems that improve turbine performance, grid compatibility, and predictive maintenance. Semiconductor-enabled components therefore become essential to both clean energy deployment and higher domestic value addition.

India’s energy transition reinforces this demand. The country crossed 50 percent installed electricity capacity from non-fossil fuel sources in 2025 and is targeting 500 GW by 2030. This expansion is directly linked with rising demand for semiconductor-led systems across generation, storage, and grid infrastructure.

Policy direction is increasingly reflecting this linkage. The INR 76,000 crore India Semiconductor Mission has laid the foundation across advanced packaging, compound semiconductors, and electronics manufacturing. As the framework evolves toward ISM 2.0, emphasis is expected to move toward supply chains, materials, and design capabilities. This can support sectors such as renewable energy equipment manufacturing, where semiconductor capability is increasingly tied to performance, localisation, and long-term competitiveness.

What makes the current shift notable is the participation of companies with backgrounds in clean energy and industrial infrastructure. Their entry is aligned with segments such as power electronics, materials, and system-level integration, where existing operational capabilities translate more naturally.

A similar alignment is visible globally. Renewable energy systems have increasingly worked alongside semiconductor technologies to improve grid stability and energy efficiency, particularly in Europe where wind and solar integration has driven demand for advanced power electronics. In the United States, policy support has simultaneously targeted semiconductor manufacturing and clean energy deployment, reflecting how closely both sectors are now linked in industrial planning.

India’s electronics manufacturing sector is expected to grow from approximately INR 1.46 trillion in 2022 to nearly INR 6 trillion by FY2027. Sustaining this growth will require stronger capabilities in PCB and Copper Clad Laminate, specialty materials, power electronics, and advanced packaging.

Against this backdrop, Refex has begun evaluating opportunities within semiconductor and advanced electronics through a phased and partnership-led approach, focused on areas that align with its industrial and energy-linked capabilities.

The participation of green and infrastructure-oriented companies also introduces a useful shift in perspective, positioning semiconductor capability less as a standalone sector and more as an extension of energy systems and industrial development.

Refex’s exploration reflects this evolving landscape, where semiconductor capability is increasingly being shaped by the convergence of energy transition, domestic manufacturing, and long-term industrial strategy.