India's Semiconductor Exports to Global Markets
Chips manufactured at the newly inaugurated CG Semi Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat, will be used in automobiles and industrial applications, with a significant portion exported to Japan, the United States, and Europe, according to Union Electronics and Information Technology Minister Ashwini Vaishnaw.
Speaking at the inauguration on Saturday, Vaishnaw highlighted the plant's role in India's push to build a globally competitive semiconductor industry. "The chips manufactured at this plant will be used in cars, scooters, and various industrial applications; and—most significantly—chips made in India, at this facility, will be exported to Japan, America, and Europe. Indian technology will earn global acclaim," the minister said.
Strengthening India's Semiconductor Ecosystem
The development reflects India's emergence as a credible player in the global semiconductor value chain, with domestically manufactured chips meeting both domestic and international demand. Vaishnaw credited the achievement to the Centre's sustained efforts under the Semiconductor Mission.
"The efforts of Prime Minister have made this success possible. This was once considered impossible, but it has become a reality thanks to the bold resolve of our leadership—a monumental commitment to establish a semiconductor industry in India, which has now come to fruition," he added.
CG Semi's Sanand Facility: Investment and Joint Venture
The Sanand facility will package and test semiconductor chips before deployment across automotive and industrial electronics sectors, while also catering to export markets. Prime Minister Narendra Modi inaugurated commercial production at the plant today.
The project was approved by the Union Cabinet in February 2024 under India's Semiconductor Mission. CG Semi Pvt Ltd, a subsidiary of CG Power and Industrial Solutions Limited, has established the OSAT facility with an investment of Rs 7,600 crore. CG Semi has entered into a joint venture with Japan's Renesas Electronics and Thailand's Stars Microelectronics.
PM Modi's Vision for India's Technological Future
According to Prime Minister Narendra Modi, the rapid growth of India's semiconductor sector will make this decade the biggest turning point in the country's technological future. The commencement of this project will further strengthen Sanand's semiconductor ecosystem, integrating India more deeply into the global semiconductor supply chain.
