Tata Started Construction of Semiconductor Unit: Giant Leap in Semiconductor Sector

On August 03, 2024, India took a significant step towards its journey to become self-reliant for semiconductor requirements with the commencement of construction for Tata’s semiconductor unit in Assam. The event, graced by Assam Chief Minister Himanta Biswa Sarma and Tata Sons Chairman N Chandrasekaran, marks a significant milestone in the government’s ‘Act East’ policy.

Union Minister for Railways, Electronics & Information Technology Ashwini Vaishnav emphasised the Prime Minister’s vision for a robust domestic semiconductor ecosystem. The project, approved by the Union Cabinet in February 2024, is part of the larger ₹76,000 crore program announced in December 2021 to bolster semiconductor and display manufacturing. This initiative complements the ongoing construction of Micron’s semiconductor unit in Gujarat.

About Tata’s Semiconductor Unit

Tata’s Assam unit, a ₹27,000 crore investment, is projected to create 15,000 direct and 11-13,000 indirect jobs. Beyond immediate employment, the semiconductor industry is known as a foundational sector, stimulating growth across upstream and downstream industries. The unit’s planned capacity of 4.83 crore semiconductor chips per day will cater to critical sectors like automotive (especially electric vehicles), communications, and network infrastructure.

A distinctive feature of this project is its focus on indigenous technology development. The unit will spearhead the development of advanced semiconductor packaging technologies, including Wire Bond, flip chip, and I-SIP, within India. These technologies are crucial for ensuring the nation’s technological independence and competitiveness in the global semiconductor landscape.

This groundbreaking development underscores India’s commitment to becoming a global semiconductor hub, driving economic growth, and creating high-skilled employment opportunities.

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