Introduction:
The Programme for Development of Semiconductors and Display Manufacturing
Ecosystem in India was notified on 21.12.2021 with a total outlay of ₹ 76,000 crore.
In June, 2023, the Union Cabinet had approved the proposal of Micron for setting up
a semiconductor unit in Sanand, Gujarat.
Construction of this unit is progressing at a rapid pace. And, a robust semiconductor
ecosystem is emerging near the unit.
Cabinet decisions:
Three more proposals for setting up semiconductor units in India were approved by
the Union Cabinet today.
1. Semiconductor Fab with 50,000 WSPM capacity:
Tata Electronics Private Limited (“TEPL”) will set up a semiconductor fab in partnership
with Powerchip Semiconductor Manufacturing Corp (PSMC), Taiwan.
Investment: This fab will be constructed in Dholera, Gujarat. Investment in this fab
will be ₹ 91 thousand crores.
Technology partner: PSMC is renowned for its expertise in logic and memory foundry
segments. PSMC has 6 semiconductor foundries in Taiwan.
Capacity: 50,000 wafer starts per month (WSPM)
Segments covered:
• High performance compute chips with 28 nm technology
• Power management chips for electric vehicles (EV), telecom, defence,
automotive, consumer electronics, display, power electronics, etc. Power
management chips are high voltage, high current applications.
2. Semiconductor ATMP unit in Assam:
Tata Semiconductor Assembly and Test Pvt Ltd (“TSAT”) will set up a semiconductor
unit in Morigaon, Assam.
Investment: This unit will be set up with an investment of ₹ 27 thousand crores.
Technology: TSAT semiconductor is developing indigenous advanced semiconductor
packaging technologies including flip chip and ISIP (integrated system in package)
technologies.
Capacity: 48 million per day
Segments: Automotive, electric vehicles, consumer electronics, telecom, mobile
phones, etc.
3. Semiconductor ATMP unit for specialized chips:
CG Power, in partnership with Renesas Electronics Corporation, Japan and Stars
Microelectronics, Thailand will set up a semiconductor unit in Sanand, Gujarat.
Investment: This unit will be set up with an investment of ₹ 7,600 crores.
Technology partner: Renesas is a leading semiconductor company focussed on
specialised chips. It operates 12 semiconductor facilities and is an important player in
microcontrollers, analog, power, and System on Chip (‘SoC)’ products.
Segments: The CG power semiconductor unit will manufacture chips for consumer,
industrial, automotive and power applications.
Capacity: 15 million per day
Strategic importance of these units:
Within a very short time, India Semiconductor Mission has achieved four big
successes. With these units, the semiconductor ecosystem will get established in
India.
India already has deep capabilities in chip design. With these units, our country will
develop capabilities in chip fabrication.
Advanced packaging technologies will be indigenously developed in India with today’s
announcement.
Employment potential:
These units will generate direct employment of 20 thousand advanced technology jobs
and about 60 thousand indirect jobs.
These units will accelerate employment creation in downstream automotive,
electronics manufacturing, telecom manufacturing, industrial manufacturing, and other
semiconductor consuming industries.
Construction: All three units will start construction within next 100 days.
