Gandhinagar: Tata Electronics is set to expand its semiconductor manufacturing capabilities with the construction of two new fabrication plants, or fabs, in Dholera, Gujarat. This move is part of the company's strategy to develop a robust domestic chip manufacturing ecosystem, addressing growing international demand and positioning itself as a key player in the global semiconductor market.

The first fab, which began construction earlier this year in the Dholera Special Investment Region, is focused on producing chips for various applications such as power management circuits, display drivers, microcontrollers, and high-performance computing logic. These components will serve critical sectors like automotive, data storage, wireless communication, and artificial intelligence.

At full capacity, the first fab is expected to produce up to 50,000 wafers per month. The initial phase of the project, valued at Rs 91,000 crore, is being developed in collaboration with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC). The first fab is scheduled to begin production by 2026.

Tata Electronics also plans to construct two more fabs within the next five to seven years, which are expected to be of similar scale. The company aims to utilise shared infrastructure across all three fabs to optimise costs, though the total investment remains significant. This expansion underscores Tata’s commitment to strengthening India's presence in the semiconductor industry and supporting global demand for advanced chips. /BI