13 October,2026 01:55 PM IST | New Delhi | mid-day online correspondent
Tata Sons chairman N Chandrasekaran. File picture
While highlighting that semiconductors will be fundamental to India's future, Tata Sons Chairman N Chandrasekaran on Tuesday said India is well placed to develop its semiconductor manufacturing capabilities due to its talent pool, large domestic market and potential international partnerships, according to news agency PTI.
He added that the Tata Group's priority is to position itself in an industry that is "fundamentally required" to meet domestic consumption needs.
"... We are in a beautiful spot in India, because we have the talent, we have the domestic market, we can play a part in every global supply chain," he said at the 2026 Bloomberg New Economy Forum.
He further said India would need to collaborate with global players to access the necessary technologies while closely monitoring energy requirements.
"We need partnerships, because we have all the technologies... But if you design it, definitely we will get there. But you also have to be careful, because you need to keep an eye on energy," he said.
Tata Group firm Tata Electronics, is setting up a semiconductor fabrication plant at Dholera in Gujarat in partnership with Taiwan's Powerchip Semiconductor Manufacturing Corporation (PSMC), at an investment outlay of around Rs 91,000 crore.
The proposed plant will manufacture chips for sectors such as automobiles, mobile devices, consumer electronics, artificial intelligence and other industrial segments.
Besides, Tata Group is also developing a semiconductor assembly and test facility in Assam. The investment for this facility is around Rs 27,000 crore.
The semiconductor push is part of Tata Group's broader strategy to expand its presence in advanced manufacturing, electronics and battery technologies, according to PTI.
The manufacturing projects seek to cater the growing domestic demand, strengthening the country's semiconductor supply chain and integrating India more closely with the global electronics manufacturing ecosystem.
The Tata Sons Chairman said these investments reflect the group's conviction that semiconductor capabilities would be essential in the long run, despite uncertainty around the pace of execution and the choice of technologies.
Chandrasekaran, however, cautioned against pursuing the most advanced chip-manufacturing technologies without adequately assessing market demand and economic feasibility.
"You cannot be reckless and say that I am going to be putting a 2 nanometre chip (plant). It's just not going to work. So, we need to also see where the demand is," he said.
He stressed that investments should be commercially viable and capable of generating sustainable employment over the long term.
"And the financially viable thing, you have got to see the sun cross the river," he said.
Chandrasekaran said businesses could not expect predictability given the uncertainties in the global business environment.
"But a lot of things are certain. Energy is certain, the game is certain, the ability to execute is certain. And the only thing is how much you ramp up, how fast you ramp up, which technology you go to...," he said.
(With inputs from PTI)
