The Union Cabinet approved two new semiconductor manufacturing units on Tuesday with a total investment exceeding Rs 3,936 crore. Information and Broadcasting Minister Ashwini Vaishnaw confirmed the projects fall under the India Semiconductor Mission (ISM) and will be located in Gujarat. The move aims to expand the domestic electronics value chain and reduce import dependency.

Crystal Matrix Limited (CML) will establish an integrated facility for compound semiconductor fabrication and Assembly, Testing, Marking, and Packaging (ATMP) in Dholera. This unit will produce India’s first commercial mini/micro-LED display modules using Gallium Nitride (GaN) technology. Simultaneously, Suchi Semicon Private Limited (SSPL) will set up an Outsourced Semiconductor Assembly and Test (OSAT) facility in Surat to manufacture discrete semiconductors.

The two facilities are projected to create employment for 2,230 skilled professionals. With these additions, the total number of approved projects under the India Semiconductor Mission has reached 12. Total cumulative investments under the mission now stand at approximately Rs 1.64 lakh crore.

Implementation of the projects will commence following the finalization of land and utility agreements in Dholera and Surat. The government is expected to continue evaluating further proposals under the ISM to strengthen the national semiconductor ecosystem.