US Seeks Enhanced Cooperation with India on Advanced AI and Semiconductor Technologies

US Looks to Deeper Collaboration with India in AI and Semiconductors

The United States is seeking to expand its bilateral trade with India and strengthen technology supply chains, with a focus on artificial intelligence and semiconductors. US Ambassador to India Sergio Gor made the remarks at The Citi India Conference 2026, where he highlighted the potential for deeper collaboration between the two countries.

Gor's comments come as India and the US engage in trade negotiations aimed at advancing a bilateral trade agreement. The talks have been ongoing, with Commerce and Industry Minister Piyush Goyal stating that most major issues in the first phase of the proposed agreement have been settled, with discussions now focused on final details. The trade talks have also been influenced by US Section 301 proceedings linked to forced labor issues, with India's Commerce Ministry remaining engaged with the US on the matter.

At the conference, Gor emphasized the importance of trust and friendship in the India-US relationship, which he said transcended the current administration. He noted that government-level initiatives were being supported by US private-sector investment in India. The technology sector has become a key area of focus for the two countries, with expanded cooperation in critical and emerging technologies through frameworks such as the Initiative on Critical and Emerging Technology, later evolved into the TRUST initiative.

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The two countries have already seen progress in their technology cooperation, with a joint statement in February 2026 announcing plans to increase trade in technology products, including graphics processing units used in data centers. India has also been working to build its domestic semiconductor capacity through the India Semiconductor Mission, with plans to focus on semiconductor equipment and materials, Indian semiconductor intellectual property, and stronger domestic and global supply chains in the next phase, India Semiconductor Mission 2.0.

The semiconductor push has attracted the attention of global technology companies, with the Odisha government signing a $3.3-billion memorandum of understanding with Intel and US-based 3D Glass Solutions for an advanced packaging glass core substrate manufacturing facility. This investment is expected to contribute to India's growing semiconductor industry and support the country's goal of becoming a hub for electronics manufacturing.