Tata Electronics, a subsidiary of Tata Sons Pvt. Ltd., has entered a definitive agreement with Taiwan-based Powerchip Semiconductor Manufacturing Corporation (PSMC) to build a semiconductor fabrication plant in Dholera, Gujarat. This facility is expected to produce up to 50,000 wafers per month and will focus on the production of chips for applications such as power management, microcontrollers, high-performance computing, and wireless communication.
Under the agreement, PSMC will provide design, construction, and engineering support, as well as transfer its licensed technologies to the new facility. The plant will also feature advanced automation systems, utilizing machine learning and data analytics to enhance manufacturing efficiency.
The project involves a total investment of INR 91,000 crore (approximately USD 11 billion) and is expected to create over 20,000 direct and indirect jobs. The Tata Group has a larger vision for the Dholera site, with plans for multiple fabs projected to generate more than 100,000 skilled jobs in the long term.
The agreement between Tata Electronics and PSMC marks a significant move for India’s semiconductor manufacturing ambitions, aiming to address both domestic and global chip demand.