Indian Economy News

Cabinet approves semiconductor manufacturing units in Odisha, Punjab and Andhra Pradesh with an outlay of Rs. 4,600 crore (US$ 524.93 million)

The Union Cabinet, led by Prime Minister Mr. Narendra Modi, has approved four new semiconductor projects under the India Semiconductor Mission (ISM) with a cumulative investment of around Rs. 4,600 crore (US$ 524.93 million). These new projects, from SiCSem, Continental Device India Private Limited (CDIL), 3D Glass Solutions Inc., and Advanced System in Package (ASIP) Technologies, bring the total number of approved projects under the ISM to 10, with total investments of approximately Rs. 1.60 lakh crore (US$ 18.26 billion) across six states. The new manufacturing facilities are expected to create 2,034 skilled jobs. They will boost the electronic manufacturing ecosystem, generating numerous indirect jobs as well. These projects are considered crucial for contributing to "Atmanirbhar Bharat" due to the increasing demand for semiconductors in sectors such as telecom, automotive, data centres, consumer electronics, and industrial electronics. The four newly approved projects include the country's first commercial compound fab and a highly advanced glass-based substrate semiconductor packaging unit, which will significantly bolster the country's semiconductor ecosystem.
SiCSem and 3D Glass Solutions Inc. will establish their facilities in Info Valley, Bhubaneshwar, Odisha. SiCSem, in partnership with Clas-SiC Wafer Fab Ltd., UK, will create an integrated facility for Silicon Carbide (SiC) based Compound Semiconductors, with an annual capacity of 60,000 wafers and 96 million units of packaging. 3D Glass Solutions Inc. will set up a vertically integrated advanced packaging and embedded glass substrate unit, bringing state-of-the-art packaging technology to India. CDIL will expand its discrete semiconductor manufacturing facility in Mohali, Punjab, increasing its annual capacity to 158.38 million units. Advanced System in Package Technologies (ASIP) will establish a semiconductor manufacturing unit in Andhra Pradesh with a technology tie-up with APACT Co. Ltd, South Korea, aiming for an annual capacity of 96 million units. The manufactured products from these facilities will have applications in various fields, including defence, electric vehicles (EVs), renewable energy systems, and mobile phones.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

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