The Union Cabinet today approved the proposal of Kaynes Semicon Pvt Ltd to set up a semiconductor unit in Sanand, Gujarat with an investment of Rs 3,300 crore.
This unit will have a capacity of 60 lakh chips per day and will cater to various applications like industrial, automotive, and consumer electronics.
The government launched ‘Programme for Development of Semiconductors and Display Manufacturing Ecosystem’ in India on 21.12.2021, with a total investment of Rs. 76,000 crore.
Back in June 2023, the Union Cabinet had approved the first proposal for setting up a semiconductor unit in Sanand, Gujarat. Earlier this year, the Union Cabinet authorized the establishment of three semiconductor units as part of the initiative.
Semiconductor Fab by Tata Electronics Private Limited (TEPL) and Powerchip Semiconductor Manufacturing Corp (PSMC) will be built in Dholera, Gujarat, with an investment of Rs.91,000 crore.
Semiconductor ATMP Unit by Tata Semiconductor Assembly and Test Pvt Ltd (TSAT) in Assam will be set up at an investment of Rs.27,000 crore and Semiconductor ATMP Unit for Specialized Chips by CG Power, Renesas Electronics Corporation, and Stars Microelectronics will be established in Sanand, Gujarat, with an investment of Rs.7,600 crore.
Construction of all 4 semiconductor units is progressing at a rapid pace and a robust semiconductor ecosystem is emerging near the units, said the government.
These 4 units will bring an investment of almost Rs 1.5 Lakh crore. The cumulative capacity of these units is about 7 crore chips per day, it added.