The recent liberalization of SEZ regulations is a strategic thrust towards India’s semiconductor indigenization. Top reforms are lighter land requirements, eased land encumbrance rules, permission for onshore sales, and operational flexibility—facilitating the investment of global and domestic companies. These reforms seek to place India in global supply chains, increase indigenous chip manufacturing, and lure big ticket investments. But infrastructure deficits, skill deficiencies, and environmental issues are still fundamental challenges to overcome for sustainable success.