Shares of domestic semiconductor and electronics manufacturing services (EMS) companies logged sharp gains on Dalal Street on Thursday, with several frontrunners jumping by up to 10% during intraday trading. The strong buying momentum was led by pure-play design and outsourced semiconductor assembly and test (OSAT) players, including Kaynes Technology, Syrma SGS Technology, and MosChip Technologies. Investor optimism was fueled by the high-profile kickoff of SEMICON India 2026 in the national capital, where policymakers, institutional investors, and global semiconductor conglomerates converged to review India's expanding role in the worldwide electronic component supply matrix.

PM Modi Inaugurates SEMICON India 2026: Pitching India as a Resilient Global Supply Hub

Prime Minister Narendra Modi officially inaugurated the fifth edition of the SEMICON India conclave in New Delhi on Thursday, September 17, 2026. Running through September 19, the flagship three-day summit brought together leadership delegations from more than 600 technology enterprises spanning 52 countries, covering design, silicon wafer tools, assembly, and materials supply chains. Key global equipment and design titans in attendance included ASML, Applied Materials, Tokyo Electron, NXP Semiconductors, and IBM Research, alongside Indian heavyweights executing commercial projects, such as Tata Electronics, Micron Technology, and CG Power. Addressing the global assembly, Prime Minister Modi pointed out that rising geopolitical cross-currents are putting immense pressure on international chip supply networks, creating a window for India to establish itself as a trusted, reliable destination for fab lines and packaging complexes.

₹1.27 Lakh Crore Semicon 2.0 Roadmap Triggers Broad-Based Bullish Bets

Market sentiment was further bolstered by the government's long-term capital support programs. Building upon the foundational ₹76,000 crore outlay under the initial India Semiconductor Mission (ISM), central authorities are advancing policy preparations for 'Semicon 2.0' with an expanded proposed capital expenditure framework of ₹1.27 lakh crore. This upgraded policy push broadens state support beyond basic fabrication plants to incentivize indigenous chip architecture design, specialty compounds, raw wafer substrate development, advanced R&D corridors, and high-volume engineering talent generation, encouraging retail and institutional buyers to build exposure in domestic supply-chain beneficiaries.

Kaynes and Syrma SGS Lead Rally on Assembly Facilities and Component Clearances

Among the top market gainers, BSE 500 component Kaynes Technology advanced over 5% to reach an intraday high of ₹3,563 against its prior close of ₹3,387. Market interest centered around the execution timeline of Kaynes' ₹3,307 crore OSAT facility in Gujarat, which is designed to deliver substrate-level packaging and wire-bond interconnect technologies with an ultimate target throughput of more than 63.3 million finished chips daily. Concurrently, Syrma SGS Technology surged nearly 10% to touch ₹1,658, up from ₹1,511, after securing regulatory clearance for a dedicated ₹60 crore coil manufacturing unit under the Electronics Component Manufacturing Scheme, boosting its order book across domestic electronic manufacturing services.