Tata Electronics is to begin semiconductor wafer production at its Dholera plant in Gujarat using mainly 90-nanometre (nm) process technology, instead of the 28nm node that had earlier been presented as the starting point for the project, according to a Bloomberg report citing people familiar with the matter.
The Dholera unit is being built as India's first commercial semiconductor wafer fabrication plant.
Tata Electronics said the facility will manufacture chips across technology nodes ranging from 28nm to 110nm. It said production was always planned in phases, with 55nm and 90nm processes introduced before 28nm.
Taiwan-based Powerchip Semiconductor Manufacturing Corp. (PSMC), which is providing technology support for the project, said the agreement covers several manufacturing nodes, with 28nm being the most advanced.
Chips produced using the 90nm process are commonly used in industrial equipment, automotive electronics, and power management applications.
The 28nm node has wider commercial use across smartphones, communications equipment, consumer electronics and vehicles. Bloomberg reported that Tata's initial production will largely focus on the older process technology.
The development comes after the Union Cabinet approved ₹1.28 trillion in fresh incentives for semiconductor design, manufacturing equipment and supply-chain projects.
The scheme covers future investments and is in addition to the $10 billion semiconductor incentive programme announced in 2021.
Under the earlier scheme, the government offered financial support for approved semiconductor projects, including Tata Electronics' Dholera fabrication plant.
The Dholera facility is being built with a planned investment of about $10.7 billion. Tata Sons' FY25 annual report had said the group's semiconductor manufacturing would begin with the 28nm node before moving to more advanced technologies.
Commercial production was initially expected by the end of 2026. Electronics and Information Technology Minister Ashwini Vaishnaw said this week that the plant is now expected to begin commercial operations in mid-2028.
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Tata Electronics has outlined a phased manufacturing plan for its Dholera chip fab. Commercial production is now expected to begin in mid-2028, with 90nm technology introduced before 28nm.
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Published on: Jul 17, 2026, 1:42 PM IST
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