The Government of India has approved two major semiconductor manufacturing projects in Gujarat with a combined investment of over ₹3,900 crore, strengthening the country’s push toward self-reliance in semiconductor production. The approvals, granted under the India Semiconductor Mission (ISM), mark a significant step in building a robust chip manufacturing ecosystem in India.
The projects will be established in Dholera and Surat and are expected to generate over 2,200 high-skilled jobs. With these additions, the total number of approved semiconductor projects in India has reached 12, with cumulative investments of approximately ₹1.64 lakh crore. This reflects the government’s strong focus on electronics manufacturing, semiconductor supply chain development, and digital infrastructure growth.
The first project, led by Crystal Matrix Limited, will set up an integrated compound semiconductor fabrication and assembly facility in Dholera. This unit will manufacture Mini and Micro-LED display modules using advanced Gallium Nitride (GaN) technology, making it India’s first commercial-scale facility in this segment. The development is expected to support emerging applications in consumer electronics, display technology, and next-generation devices.
The second project, by Suchi Semicon Private Limited, involves the establishment of an Outsourced Semiconductor Assembly and Test (OSAT) facility in Surat. This unit will focus on producing discrete semiconductor components with an annual capacity exceeding 1 billion chips. These components will cater to high-growth sectors such as automotive electronics, electric vehicles (EVs), industrial automation, and power electronics.
India’s semiconductor sector is gaining momentum, with several previously approved projects already progressing toward production. The government is also investing in chip design, R&D, and startup innovation, supporting over 300 academic institutions and 100+ startups to build a strong design ecosystem.
With rising demand for AI chips, advanced computing, and smart electronics, these new investments are expected to reduce import dependency and position India as a key player in the global semiconductor industry. The expansion of fabrication, packaging, and display technologies will further accelerate India’s journey toward becoming a global hub for semiconductor manufacturing and innovation.
