Tata Electronics To Set Up India’s First Semiconductor Facility In Gujarat

Business Edited by Updated: Mar 01, 2024, 5:25 pm
Tata Electronics To Set Up India’s First Semiconductor Facility In Gujarat

Tata Electronics To Set Up India’s First Semiconductor Facility In Gujarat

India’s First Semiconductor Fab facility under the Semicon India Programme to be set up in Dholera Special Investment Region, Gujarat. The facility is to be established by Tata Electronics Pvt. Ltd. in partnership with Powerchip Semiconductor Manufacturing Corp, Taiwan.

This will mark India’s emergence in the global semiconductor value chain, unlocking endless potential, as per the ministry of Electronics & IT.

The cabinet decision will start a new era in semiconductor manufacturing in India. The unit will be set up by an investment of Rs 91,000 crore.

In this facility, chips with 28 nm technology will be manufactured for Automotive, Consumer Electronic, Data Storage, Display Drivers, Power Electronics, Telecommunications Sectors etc.

According to Union Minister Vaishnaw, the semiconductor fab owned by Tata Electronics will hold its groundbreaking ceremony shortly and construction will start within the next 100 days. Since announcing its Rs 76,000 crore chip subsidy plan in December 2021, the Indian government has approved only this project to semiconductor production.

The manufacturing facility would be able to produce 50,000 wafers a month, or 300 crore chips a year.

The Tata Group company Tata Semiconductor Assembly and Test Pvt Ltd (TSAT) plans to build a new semiconductor assembly facility in Morigaon, Assam. Approximately Rs 27,000 crore would be invested in total for this project.

Approximately Rs 7,600 crore would be spent on an assembly unit in Sanand, Gujarat, which is the third semiconductor project that the Union Cabinet has accepted. Stars Microelectronics in Thailand, Japanese chip manufacturer Renesas, and India”s CG Power are collaborating on this project. It is anticipated that this project will require an overall investment of Rs 7,600 crore.

Government data indicates that India has extensive expertise in chip design. These devices will help our nation advance its chip production capabilities. With this announcement, advanced packaging technologies will be developed in India.

Twenty thousand advanced technology jobs will be directly employed by these units, and roughly sixty thousand indirect jobs will be produced. Additionally, this will hasten the creation of jobs in the downstream semiconductor-consuming industries, including the automotive, electronics, telecom, and industrial sectors.

India is embarking on a transformative journey to position itself as a formidable contender in the global semiconductor industry. Over the next five years, the country aims to emerge as a hub for both chip fabrication and design. Bolstered by its strengths in chip design, a dedicated commitment to clean and sustainable power, and a wealth of expertise in handling intricate chemicals, India strategically positions itself to excel in semiconductor technology.