Kaynes Semicon launched commercial production at its Rs 3,300 crore OSAT facility in Sanand, Gujarat, inaugurated by Prime Minister Modi on March 31, 2026. India's second operational semiconductor unit after Micron's ATMP, the plant begins with Intelligent Power Modules integrating 17 chips per module, supplying Alpha and Omega Semiconductor. The Indian EMS company becomes the first domestic player in semiconductor manufacturing, with a target of 6 million units per day at full ramp.
Semicon Hunt -> manufacturing -> Kaynes Semicon
2026-03-31
Prime Minister Narendra Modi inaugurated Kaynes Semicon's Rs 3,300 crore Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat on March 31, 2026, making it the second semiconductor unit to go operational under India's Semiconductor Mission — following Micron Technology's ATMP plant weeks earlier. Kaynes Semicon is an Indian EMS company, making this the first domestic player to enter semiconductor manufacturing and broadening participation beyond global firms.
The facility begins production with Intelligent Power Modules (IPMs) for automotive and industrial applications requiring high-efficiency power switching. Each IPM integrates 17 chips, and the plant had already shipped approximately 900 multi-chip modules (IPM5) ahead of formal inauguration. Initial supply goes to Alpha and Omega Semiconductor. At full ramp, capacity is expected to reach around 6 million units per day. Expansion into QFN/DFN and BGA packages is planned for September 2026.
The Kaynes unit addresses a critical gap: until 2026, India had virtually no large-scale domestic chip packaging infrastructure. The facility can now supply packaged semiconductors to automotive, industrial, and electronics manufacturers without dependence on overseas packaging. Sanand is emerging as India's first semiconductor manufacturing cluster — home to Micron's ATMP, Kaynes' OSAT, and CG Semi's OSAT — alongside the forthcoming Tata-PSMC front-end fab in nearby Dholera.
Kaynes Semicon has signed an MoU with SVNIT Surat to build a structured semiconductor workforce pipeline. The partnership offers internships, industry-led training, and curriculum alignment focused on semiconductor packaging and testing — bridging the gap between academia and the shop floor. The development signals that India's semiconductor ambition is not just about capital investment but also about creating a self-sustaining talent base for long-term ecosystem depth.
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