PSMC and Tata Finalize $11 Billion Wafer Fab Deal

On September 26, Power Semiconductor Manufacturing Corporation (PSMC) announced a definitive agreement with Tata Electronics in New Delhi. PSMC will assist Tata in constructing India's first 12-inch wafer fabrication facility in Dholera, Gujarat, transferring mature process technology and training local employees.

Indian Prime Minister Narendra Modi met with PSMC Chairman Frank Huang and General Manager Martin Chu to express his full support for the collaboration between Taiwan and India on this wafer fab project. He also emphasized administrative support and investment protection for Taiwanese businesses operating in India.

The agreement was signed by Martin Chu and Tata Electronics CEO Randhir Thakur, with an estimated total investment of $11 billion for the facility, which is projected to produce 50,000 wafers per month and create over 20,000 high-tech jobs in the region.

Huang highlighted the extensive ecosystem surrounding the semiconductor industry, which includes thousands of small and medium enterprises. He urged the Indian government to create a friendly business environment for Taiwanese companies and protect their investments. With India's vast market potential and skilled workforce, he expressed optimism about future collaborations with Taiwanese chip design firms, fostering a win-win scenario in the semiconductor sector.