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India’s Semiconductor Push: First Domestic Chip in 2025

10 March 20251 min read
SCIENCE & TECHNOLOGYIndia’sSemiconductor Push:First Domestic Chipin 202510 March 2025safalsetu.com

Why in the news

The government said the first indigenous chip will appear in 2025, while data shows imports of chips climbing steeply.

Key facts

  • Under construction: Tata ATP facility at Morigaon and the Dholera fab by Tata Electronics with Taiwan’s Powerchip Semiconductor Manufacturing Corporation.
  • Main suppliers over ten years: China (except FY19), Hong Kong, Japan, South Korea, Singapore, Taiwan.
  • Monolithic ICs’ share of imports: 0.19% (FY16) to 2.09% (April-November FY25).
Semicon India ProgrammeBudgetedRevisedSpent
FY23₹200 crore–₹13 crore
FY24₹3,000 crore₹1,503 crore₹681 crore
FY25₹6,903 crore₹3,816 crore–
Import itemRise since FY16
Monolithic ICs2,000%
Memory chips4,500%
Amplifiers4,800%

Concerns

  • Strength lies in assembly, testing and packaging, but gaps remain in EDA software, core IP, wafers, fab tools and advanced design.
  • Better programme execution is needed to cut import reliance.

Exam angle

  • EDA = Electronic Design Automation.

Test yourself

1. Which Taiwanese firm partners Tata Electronics for the Dholera semiconductor fab?

Dholera fab is by Tata Electronics with Powerchip.

2. In which year was the Semicon India Programme launched?

The Semicon India Programme dates from 2021.

3. Where is the Tata Semiconductor Assembly and Test facility under construction?

The Tata ATP facility is in Morigaon.