The Union Cabinet of India has approved four new semiconductor manufacturing projects in the states of Odisha, Punjab, and Andhra Pradesh, with a total investment of ₹4,594 crore.

This decision was announced on August 12, 2025, by Information and Broadcasting Minister Ashwini Vaishnaw and forms part of the India Semiconductor Mission, which earmarks ₹76,000 crore to financially support chip manufacturing facilities across the country.

Two of these new projects will be located in Odisha, specifically in Bhubaneswar’s Info Valley, emerging as a semiconductor hub. The first project, by SiCSem Pvt Ltd., involves setting up India's first commercial compound semiconductor fabrication plant manufacturing silicon carbide (SiC) devices.

This plant will have the capacity to produce 60,000 wafers annually and package 96 million units. The products from this plant will cater to key sectors including electric vehicles, railways, fast chargers, solar inverters, defence systems, and data centres. The investment for this project is ₹2,066 crore.

The second project in Odisha will be a 3D Glass semiconductor packaging and embedded glass substrate manufacturing plant by 3D Glass Solutions Inc., backed by investments from major US technology firms such as Intel and Lockheed Martin.

This plant will utilise advanced semiconductor packaging technology, producing 69,600 glass panel substrates, 50 million assembled units, and 13,200 3D Heterogeneous Integration modules annually. The investment for this is ₹1,943 crore.

In Andhra Pradesh, the Cabinet approved a chip packaging plant to be set up by Advanced System in Package Technologies Pvt Ltd with an investment of ₹468 crore. This unit will have an annual manufacturing capacity of 96 million units, with applications in mobile phones, set-top boxes, automotive electronics, and other electronic products.

Punjab will see an expansion of semiconductor manufacturing by Continental Device India Pvt. Ltd. (CDIL), which received approval for a project with ₹117 crore investment. This facility will manufacture high-power discrete semiconductor devices including MOSFETs, IGBTs, Schottky bypass diodes, and transistors in silicon and silicon carbide.

The annual production capacity will be around 158.38 million units. The products will serve automotive electronics, including electric vehicles and charging infrastructure, renewable energy systems, power conversion, industrial applications, and communication infrastructure.

These four projects add to the existing semiconductor initiatives under the India Semiconductor Mission, bringing the total number of approved projects to 10 across six states with combined investments of approximately ₹1.6 lakh crore.

The new projects are expected to generate over 2,000 skilled jobs directly and significantly enhance India’s semiconductor manufacturing ecosystem and global competitiveness in advanced technology sectors.

Agencies