India has approved 12 semiconductor projects worth nearly $20 billion under the India Semiconductor Mission, marking a major step towards strengthening the country’s chip manufacturing industry. The approved projects include semiconductor fabrication plants, assembly units and packaging facilities across seven states. The initiative is part of the government’s long-term strategy to reduce import dependence and position India as a global semiconductor manufacturing hub.
India Semiconductor Mission Expands Chip Manufacturing
The India Semiconductor Mission has cleared projects spread across states including Gujarat, Odisha and Assam. The investments cover semiconductor fabrication, assembly, testing and packaging facilities that are expected to strengthen India’s electronics manufacturing ecosystem.
One of the biggest approved projects is Tata Electronics’ semiconductor fabrication plant in Dholera, Gujarat. The project, developed in partnership with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC), is valued at around $10.5 billion.
Micron Technology is also setting up a semiconductor assembly and testing facility worth $2.75 billion in Sanand, Gujarat. According to the latest update, three semiconductor facilities approved under the mission have already started commercial production.
Semicon 2.0 to Strengthen India’s Chip Industry
The new approvals are part of the government’s Semicon 2.0 programme, which has an investment plan of about $15.3 billion.
The programme focuses on building semiconductor supply chains, expanding research and development, supporting advanced manufacturing and developing skilled talent for the industry.
The government aims to make India one of the world’s top five semiconductor manufacturing destinations by 2030.
Focus on Jobs and Import Reduction
The India Semiconductor Mission is expected to reduce India’s dependence on imported semiconductor chips while supporting domestic manufacturing.
Officials estimate that the approved projects could create around 50,000 direct and indirect jobs across the semiconductor sector.
The expansion is also expected to attract more global technology companies to establish manufacturing facilities in India.
South Korean Investment Interest
South Korean chipmaker Seoul Semiconductor is reportedly exploring plans to establish its first manufacturing facility in India.
The company is considering Tamil Nadu, Karnataka and Gujarat as possible locations for the proposed plant. If approved, it would become Seoul Semiconductor’s first manufacturing unit in India and further strengthen the country’s semiconductor ecosystem.
The latest investments highlight India’s growing importance in the global semiconductor industry as the country continues to attract major international companies and expand domestic chip manufacturing capabilities.