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Dholera Emerges as India’s Hub for Specialized Substrates & Advanced Semiconductor Packaging

  • Writer: hastashravanadigit
    hastashravanadigit
  • Dec 3, 2025
  • 2 min read

Dholera Special Investment Region (SIR) is emerging as a major hub for high-tech manufacturing, particularly in the semiconductor industry, which involves specialized substrates and advanced packaging. Several key global and Indian firms are investing heavily in this ecosystem.


Key Specialized Substrate and Packaging Firms


The investments are primarily driven by the burgeoning semiconductor ecosystem and supporting industries:

Tata Electronics (Indian) & Powerchip Semiconductor Manufacturing Corp. (PSMC - Taiwanese): This joint venture is setting up India's first commercial semiconductor fabrication plant in Dholera with an investment of over ₹91,000 crore (around $11 billion). This facility will produce chips for a wide range of applications (mobile, automotive, 5G, defense) and involves the use of specialized substrates (wafers).


Merck Electronics (Global): Tata Electronics has signed a Memorandum of Understanding (MoU) with the German giant Merck Electronics, which will supply high-purity electronic materials, advanced gas and chemical delivery systems, and other critical infrastructure services for the Dholera fab project, directly supporting the substrate and packaging material supply chain.


Nextgen Semiconductors (Global): This company, with backing from Malaysian investors, plans to invest ₹8,800 crore to establish a fully integrated Silicon Carbide (SiC) power semiconductor platform in Dholera. SiC is a critical specialized substrate material for high-power applications like electric vehicles and renewable energy systems.

Chiripal Industries (Indian): This Indian conglomerate has been allocated 90 acres to set up a manufacturing plant for aluminum foil and PET resin, which are used in various packaging applications.


Kaynes Technology India Limited (KTIL) (Indian): While their OSAT (Outsourced Semiconductor Assembly and Test) facility for wire bond interconnect and substrate-based packages is being set up in nearby Sanand, Gujarat, it is part of the broader Gujarat semiconductor ecosystem that Dholera is anchoring.


Himax Technologies (Taiwanese): Himax is one of the Taiwanese firms that has inked a tripartite agreement with Tata Electronics for the semiconductor chip manufacturing facility, focusing on the display driver ICs and related packaging technologies.


Tokyo Electron (Global): This major Japanese firm has chosen to expand its presence in the region, setting up an office to support the Dholera fab, indicating engagement in the supply chain for semiconductor manufacturing equipment and materials.


These investments are part of a larger government initiative (India Semiconductor Mission) to create a robust, self-reliant semiconductor ecosystem, which naturally attracts allied specialized material and packaging firms to the region.


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