+
Tata Electronics Expands Semiconductor Manufacturing in India
ECONOMY & POLICY

Tata Electronics Expands Semiconductor Manufacturing in India

Tata Electronics is set to build two additional semiconductor fabrication plants (fabs) in Dholera, Gujarat, enhancing its strategy to establish a domestic chip manufacturing ecosystem. This initiative aims to meet rising international demand and solidify Tata's position in the global semiconductor industry.

The first fab, currently under construction in the Dholera Special Investment Region, is expected to open in 2026. It will produce chips for power management circuits, display drivers, microcontrollers, and high-performance computing logic, vital for sectors like automotive, data storage, wireless communication, and artificial intelligence (AI). At peak capacity, the fab will manufacture up to 50,000 wafers monthly.

Valued at ?91,000 crore, the first phase is being developed in collaboration with Taiwan's Powerchip Semiconductor Manufacturing Corporation (PSMC). Plans for the second and third fabs, also on a similar scale, are anticipated to begin construction within five to seven years, although future partnerships with PSMC remain uncertain.

Tata Electronics is in discussions with potential chip buyers, primarily within the Tata Group, including Tata Motors and Tata Teleservices. The company is also developing a robust supply chain ecosystem and constructing a residential facility for 4,000-5,000 workers at the Dholera site.

In parallel, Tata is advancing a ?27,000 crore assembly and testing unit in Jagiroad, Assam, which aims to start high-volume production by mid-2025. This facility will focus on core technologies like wire bond and flip chip, with a daily output capacity of 48 million chips.

Tata Electronics is set to build two additional semiconductor fabrication plants (fabs) in Dholera, Gujarat, enhancing its strategy to establish a domestic chip manufacturing ecosystem. This initiative aims to meet rising international demand and solidify Tata's position in the global semiconductor industry. The first fab, currently under construction in the Dholera Special Investment Region, is expected to open in 2026. It will produce chips for power management circuits, display drivers, microcontrollers, and high-performance computing logic, vital for sectors like automotive, data storage, wireless communication, and artificial intelligence (AI). At peak capacity, the fab will manufacture up to 50,000 wafers monthly. Valued at ?91,000 crore, the first phase is being developed in collaboration with Taiwan's Powerchip Semiconductor Manufacturing Corporation (PSMC). Plans for the second and third fabs, also on a similar scale, are anticipated to begin construction within five to seven years, although future partnerships with PSMC remain uncertain. Tata Electronics is in discussions with potential chip buyers, primarily within the Tata Group, including Tata Motors and Tata Teleservices. The company is also developing a robust supply chain ecosystem and constructing a residential facility for 4,000-5,000 workers at the Dholera site. In parallel, Tata is advancing a ?27,000 crore assembly and testing unit in Jagiroad, Assam, which aims to start high-volume production by mid-2025. This facility will focus on core technologies like wire bond and flip chip, with a daily output capacity of 48 million chips.

Next Story
Infrastructure Urban

Naidu Seeks Rs 563 Crore For AP Sports Infrastructure

Andhra Pradesh Chief Minister N Chandrababu Naidu has sought Rs 563 crore from the Centre to boost sports infrastructure in the state, including Rs 538 crore for stadium development and Rs 25 crore to host the Khelo India Martial Arts Games 2025. Naidu made the request during a meeting with Union Youth Services and Sports Minister Mansukh Mandaviya in New Delhi on Wednesday.The CM urged early completion of Khelo India infrastructure projects in Tirupati, Rajahmundry, Kakinada, and Narasaraopeta, and called for an international-standard badminton training centre and a national aquatic sports hu..

Next Story
Infrastructure Transport

Tough Bidding Norms Slow NHAI Road Project Awards

Stringent bidding rules imposed by the Ministry of Road Transport & Highways (MoRTH) have led to a slowdown in project awards by the National Highways Authority of India (NHAI), despite a robust Rs 3.5 trillion pipeline. According to an HDFC Securities report, the shift to more cautious developer models now favours firms with strong balance sheets, as tighter qualification norms limit aggressive bidders.The revised norms mandate additional performance security, targeting the exclusion of players that previously submitted low bids—often 25 to 40 per cent below NHAI cost estimates—raisin..

Next Story
Infrastructure Transport

Mumbai Gets Coastal Nod for Next Promenade Phase

As Mumbai prepares to open two major sections of its expansive seafront promenade this week, the city’s civic authority has secured a key coastal clearance to advance further construction. The Maharashtra Coastal Zone Management Authority (MCZMA) has approved the commencement of work on the segment between Haji Ali and Baroda Palace, with tendering expected soon after project cost assessments.The promenade, stretching 7.5 km in length and 20 metres wide, is being designed as a flagship open space for walkers, joggers, and cyclists. Two critical stretches—2.75 km from Tata Garden to Haji Al..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?