CG Power OSAT with Renesas Hits 500K Packages Per Day in Gujarat Plant

CG Power OSAT in Sanand Demonstrates India Can Meet Volume Semiconductor Packaging Targets

The semiconductor OSAT joint venture between CG Power and Industrial Solutions, Renesas Electronics of Japan, and Stars Microelectronics of Thailand has achieved a production milestone of 500,000 packaged semiconductor units per day at its G1 production line in Sanand, Gujarat. This milestone is significant not only as an operational achievement for the specific facility but as a proof point that India's manufacturing ecosystem can sustain the process discipline and supply chain integration required for high-volume semiconductor packaging. The G1 line packages automotive and industrial-grade microcontrollers, power management ICs, and discrete power devices sourced from Renesas's wafer fabrication plants in Japan and delivered to the Sanand facility as bare dice for local packaging and test.

G1 Line Operations and Package Portfolio

The G1 production line at Sanand uses automated wire bonding, epoxy moulding, singulation, and marking equipment to produce SOIC, SOP, QFP, and TO-series power packages at high throughput. The 500,000 per day figure represents the line operating at its designed capacity with stable yield across the current product mix. Automotive-grade packages produced at G1 must meet AEC-Q101 and AEC-Q100 qualification standards, which the facility has achieved through a combination of process control, statistical process monitoring, and periodic qualification audit cycles required by Renesas and downstream automotive Tier-1 customers. Stars Microelectronics contributes its assembly and test operational expertise developed over decades of running high-volume OSAT operations in Thailand, which has been instrumental in the rapid ramp to G1 capacity.

G2 Expansion and Target Capacity

The G2 expansion, which is in the equipment installation phase as of mid-2026, will scale the facility's capacity dramatically. G2 targets a daily throughput of 14.5 million packages when fully ramped, representing a roughly 29-fold increase over the G1 throughput. Achieving this will require a substantial additional workforce, expanded clean room space, and hundreds of additional assembly and test equipment units. The G2 product scope extends beyond the G1 portfolio to include more advanced packages, and the facility is evaluating qualification of additional Renesas product families to fill the expanded capacity. Full G2 ramp is expected to take approximately two years from equipment installation commencement, with partial capacity available for customer commitments ahead of the full ramp completion.

Ecosystem Context and Competitive Significance

The CG Power joint venture operates in close geographic proximity to the Kaynes Semicon OSAT facility also under construction in Sanand, creating a semiconductor manufacturing cluster in Gujarat with two independent OSAT operations within a small radius. This clustering is beneficial for the development of a local semiconductor supply chain ecosystem including substrate suppliers, chemical vendors, equipment maintenance services, and the pool of trained semiconductor manufacturing workforce. For India's semiconductor policy objectives, the success of the CG Power JV in reaching operational volume provides evidence to international chip companies evaluating India as a packaging location that Indian facilities can deliver on volume commitments, reducing the perceived risk that has historically made India a lower priority relative to established Southeast Asian OSAT hubs.