AOI Electronics to support the establishment of semiconductor back-end processing business
AOI Electronics has announced that it has entered into a business alliance agreement with Kaynes Semicon, which is engaged in the semiconductor back-end process business in India, and Mitsui & Co, a leading general trading and investment company. This alliance has been formed to support Kaynes in establishing its OSAT business in India.
Under the new agreement, AOI Electronics will utilise its accumulated knowledge and experience, in collaboration with Mitsui, to support Kaynes in establishing its semiconductor back-end business.
Furthermore, by serving as an intermediary between Kaynes and Japanese semiconductor-related companies, AOI Electronics aim to promote the formation of a new supply chain and contribute to the growth and future potential of Japan’s semiconductor industry.
As a member of the Japan OSAT Association established in April 2025, AOI Electronics will also be committed to advancing and strengthening the domestic semiconductor back-end industry.
Semiconductors are regarded as an extremely important strategic resource in terms of national competitiveness and security, with countries advancing efforts to localise production and restructure their supply chains.
In India as well, under the “Make in India” initiative, efforts are underway to strengthen the manufacturing sector, with substantial government support being directed toward the semiconductor industry. Kaynes obtained government approval for the OSAT business in September 2024 and is working toward launching a competitive OSAT operation by the first half of 2027.
AOI will continue to support Kaynes’ growth in collaboration with Mitsui. Through this initiative, they aim to contribute to the diversification and strengthening of the global semiconductor ecosystem, deepen economic ties between Japan and India, promote the sustainable development of the semiconductor industry, create new employment opportunities, and help build the foundations for a digital society.
