Semiconductor Industry Gains Momentum in Gujarat with Tata Group and Simmtech Joining Micron

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Following Micron’s lead, Tata Group and Simmtech have unveiled plans to bolster the semiconductor industry in Gujarat. N Chandrasekaran, Chairman of Tata Group, announced during the 10th Vibrant Gujarat Global Summit that the company is finalizing details for a substantial semiconductor fabrication unit in Dholera, set to commence operations this year.

South Korea’s Simmtech, the world’s largest manufacturer of semiconductor substrates, has signed an MoU with the Gujarat government to establish a plant near Micron’s facility in Sanand. Jeffery Chun, Global CEO of Simmtech, expressed the company’s commitment to replicate its success in India and contribute to the growth of the semiconductor ecosystem.

The new Simmtech unit, costing Rs1,250 crore, will be located in Sanand, near Ahmedabad, and support Micron’s semiconductor plant in Gujarat. The state has emerged as a hub for Electronics System Design and Manufacturing (ESDM), attracting significant investments from global players.

Micron, after signing an MoU with the New Age Makers Institute of Technology (NAMTECH), will develop talent for its semiconductor operations in India. The US-based company, investing $2.75 billion, aims to begin operations in the first half of 2025, with substantial fiscal support from the Indian central government and the state of Gujarat.

Ashwini Vaishnaw, Union Minister for Electronics and Information Technology, disclosed that Gujarat is set to manufacture the country’s first Make in India chip in 2024. He urged IIT-Gandhinagar to establish a center of excellence for semiconductor research and development, emphasizing the need for skilled workers in the industry.

The recent investments by Micron and Tata Group in Gujarat’s semiconductor space position the state as a key player in the global semiconductor ecosystem, contributing to India’s goal of self-reliance and emerging as an ESDM powerhouse. Experts see this as a crucial step for India to catch up with leading manufacturing countries like Taiwan and China. Ashwini Vaishnaw emphasized the importance of focusing on the semiconductor ecosystem for success in the industry.

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