Tata Electronics has partnered with Taiwan’s PSMC in an INR 91,000 crore technology transfer deal to build Gujarat’s first greenfield semiconductor Fab, creating over 20,000 skilled jobs.
Jul 8, 2025
Tata Electronics, a subsidiary of Tata Sons, has signed a definitive technology transfer agreement with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC) to establish a greenfield semiconductor fabrication facility in Dholera, Gujarat. The INR 91,000 crore project will have a manufacturing capacity of up to 50,000 wafers per month and create over 20,000 direct and indirect skilled jobs.
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As part of the deal, PSMC will provide design and construction support, license a broad portfolio of technologies, and offer engineering assistance to successfully transfer licensed technologies to the Gujarat Fab. N. Chandrasekaran, Chairman of Tata Sons, expressed in a report that the partnership with PSMC would fast-track Tata Electronics’ plans to establish semiconductor manufacturing leadership in India. He highlighted the agreement as a major milestone that would foster innovation, spur growth, and reinforce the global semiconductor supply chain.
As per report, Dr. Frank Huang, Chairman of Powerchip Group and CEO of PSMC, noted that the collaboration marks a significant step toward setting up India’s first semiconductor fabrication facility in Gujarat. He emphasised that the initiative offers mutual benefits, giving PSMC and Taiwan’s semiconductor ecosystem a first-mover advantage in India, while supporting the country’s goal of becoming self-reliant in semiconductor production.
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The Fab will produce chips for applications in AI, automotive, computing, data storage, and wireless communication, and will feature next-generation automation with data analytics and machine learning for peak efficiency.
