Prime Minister Narendra Modi has officially launched the groundwork for three cutting-edge semiconductor plants in India, marking a significant leap forward in the nation’s technological ambitions. With a whopping investment exceeding Rs. 1.25 lakh crore, India is positioning itself as a formidable contender in the global semiconductor market, a move poised to reshape the country’s economic landscape and technological prowess.
At the “India’s Techade: Chips for Viksit Bharat” event, PM Modi laid the foundation stones for the trio of semiconductor facilities, setting the stage for a transformative journey into chip manufacturing on Indian soil. Spearheaded by esteemed conglomerates like Tata and CG Power and Industrial Solutions, these plants promise to usher in a new era of innovation and self-reliance in the realm of electronics.
The first of the triumvirate, situated in Dholera, Gujarat, is a joint venture between Tata Electronics Private Limited (TEPL) and Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC). Scheduled to commence operations by the end of 2026, this state-of-the-art facility is primed to produce 28nm chips initially, with future plans to escalate to 22nm chips. With substantial government backing, amounting to approximately Rs. 91,000 crore, the Gujarat plant holds the key to India’s semiconductor aspirations.
TEPL’s ambitious agenda extends beyond Gujarat’s borders, as it embarks on another semiconductor endeavor in Morigaon, Assam, bolstered by an investment nearing Rs. 27,000 crore. Meanwhile, the third semiconductor facility, nestled in Sanand, Gujarat, under the aegis of CG Power and Industrial Solutions, is poised to receive a government injection of Rs. 7,500 crore. These plants will serve as vital hubs for semiconductor assembly, testing, marking, and packaging (ATMP), underscoring India’s commitment to achieving self-sufficiency in chip manufacturing.
India’s foray into semiconductor production is bolstered by a robust talent pool, with nearly 20% of the global chip design workforce hailing from the country. Collaborative efforts between industry, academia, and the government are set to expedite this transformative journey, positioning India as a formidable player on the global semiconductor stage.
As India endeavors to emulate the successes of tech powerhouses like South Korea, Taiwan, Japan, and China, the nation’s recent initiatives, including the reduction of import duties on smartphones, underscore its determination to chart a new course in the electronics sector. With the inauguration of these semiconductor plants, India takes a decisive stride towards realizing its vision of technological self-reliance and global leadership.
