Blitz India Business
India expects four semiconductor plants to be ready this year and two more in 2027, Electronics and IT Minister Ashwini Vaishnaw has said, with the country’s first commercial fabrication unit at Dholera slated to follow later this decade — a sequenced climb from packaging and testing to full front-end manufacturing.
The near-term capacity is in assembly-and-test: Micron and Kaynes Semicon are already operational at Sanand in Gujarat, with further units following. Backing the build is government support exceeding $10 billion across India’s AI, quantum and semiconductor missions, plus a widening ecosystem of materials, gases and testing infrastructure.
The value chain is being built back to front — packaging capacity now, fabrication later — and each completed plant lowers the risk for the next investor.
By the Numbers
- Plants: 4 ready in 2026; 2 more in 2027
- Live now: Micron, Kaynes Semicon at Sanand
- Fab: Tata–PSMC, Dholera — India’s first, later this decade
- Support: Over $10bn across AI, quantum, chip missions
Design talent is scaling in parallel: tens of thousands of engineers trained on industry-standard tools, and global firms including Nvidia, AMD and Intel running advanced design work in India, including on leading-edge nodes. The honest constraint is depth — most chipmaking equipment and materials are still imported, and a full front-end capability is a patient, capital-heavy build.
The constructive read is that the base of the value chain is now being laid, plant by plant. Assembly at scale today, fabrication tomorrow — the sequence on which a durable, investable domestic chip industry is built.