Tata‑PSMC Fab and Other Major Projects Boost India’s Chip Manufacturing

India’s drive to become a global semiconductor hub gained fresh momentum as twelve projects received clearance, securing more than 1.64 lakh crore rupees in funding across six states. Former NITI Aayog CEO Amitabh Kant emphasized that the nation’s fab, packaging, test and advanced‑tech infrastructure is coalescing into a robust ecosystem.

The centerpiece is the Tata‑PSMC fabrication unit slated for Dholera, Gujarat. With a staggering investment of 91,526 crore rupees, the plant targets a capacity of over 50,000 wafers per month, positioning it among the world’s largest fabs. Complementing this, Micron will set up a DRAM and NAND assembly and testing facility in Sanand, backed by 22,516 crore rupees, while CG Power, Renesas and STARs collaborate on an OSAT facility worth 7,584 crore.

Gujarat also welcomes projects from Kyndis Semicon, Crystal Matrix and Suli Semicon that focus on semiconductor packaging, compound chips, mini‑LEDs and discrete devices.

In the east, Assam’s Tata Semiconductor Assembly & Test is investing 27,120 crore rupees to build an OSAT and packaging complex with a projected daily throughput of 4.8 crore units. Odisha’s two approved projects include SICSEM’s silicon‑carbide fab and packaging unit (2,066 crore) and 3D Glass Solutions’ advanced packaging and 3D‑integration line (1,943 crore).

Further south, Andhra Pradesh will host an Advanced System‑in‑Package (ASIP) plant with a 480‑crore budget, promising annual output near 9.6 crore units. Punjab’s CDIL power‑semiconductor initiative adds another 117 crore rupees to the national tally.

Collectively, these investments create a contiguous value chain that could reduce dependence on imports and elevate India’s status in the global chip arena.