India on Track for Five Chip Plants Operational by 2026 End

India's Semiconductor Build-Out Hits a Five-Plant Milestone

India's Union Minister for Electronics and Information Technology Ashwini Vaishnaw confirmed that five semiconductor manufacturing plants are expected to be commercially operational across the country by the end of 2026, up from effectively zero dedicated semiconductor units in 2023 when the India Semiconductor Mission began executing on its first wave of approved projects. Three plants are already producing chips as of mid-2026: Micron Technology's ATMP facility in Sanand, Gujarat; Kaynes Semicon's OSAT plant in Sanand; and CG Semi's OSAT facility in Sanand inaugurated by Prime Minister Modi on July 4, 2026.

The Five Plants and Their Profiles

The three operational Sanand units cover DRAM and NAND memory packaging (Micron), intelligent power modules and multi-chip module packaging (Kaynes Semicon), and automotive and consumer semiconductor packaging (CG Semi / Renesas / Stars Microelectronics). The two additional plants expected to reach commercial production before year-end are completing construction and customer qualification processes, and at least one is expected to focus on compound semiconductor packaging or advanced OSAT services for the automotive and industrial markets.

A Five-Year Zero-to-Five Trajectory

The pace of India's semiconductor manufacturing buildout is notable by global standards. Prior to the ISM's first project approvals in 2023, India had no commercial-scale semiconductor packaging or fabrication capacity. The progression to five operational units in approximately 36 months reflects both the speed of ISM execution and the willingness of international semiconductor companies to invest in India's manufacturing platform once a credible government policy framework was in place.

What Comes After Five Plants

Beyond the five plants operational or near-operational by year-end 2026, the ISM's current project portfolio includes SiCSem's silicon carbide fab in Odisha, 3D Glass Solutions' glass substrate packaging plant in Odisha, ASIP Technologies' OSAT in Andhra Pradesh, Continental Device India's Mohali expansion, and Tata Electronics' Dholera wafer fab targeting initial production in December 2026. Together with earlier approvals, the ISM portfolio now covers 12 projects with aggregate approved investment representing over $19 billion in committed capital.

Vaishnaw on India's Progress

Minister Vaishnaw has described India's semiconductor manufacturing buildout as a structural shift rather than a temporary policy initiative, emphasizing that the combination of ISM 2.0's $13.21 billion commitment, Tata Electronics' Dholera fab investment of $11 billion, and the operational momentum in Sanand means the country's semiconductor infrastructure will be materially different in scale and complexity by 2028 than it is today.

Beyond Packaging: The Next Phase

The five 2026 plants are predominantly assembly, test and packaging operations. The next critical milestone for India's semiconductor ambitions is the commissioning of Tata's Dholera front-end fab, which would make India one of a small number of countries with domestic wafer fabrication capability added in the 2020s, a category that currently includes only the US, Japan, Germany and a small number of others beyond the existing Taiwan, South Korea and China manufacturing triangle.