Tata Electronics Signs ASML Deal for Dholera Chip Fab in Gujarat

India has secured a major international partnership to advance its domestic semiconductor manufacturing ambitions. Tata Electronics, a subsidiary of the Tata Group, has signed a strategic agreement with Dutch technology firm ASML to support the construction and operation of India’s first commercial semiconductor fabrication plant in Dholera, Gujarat.

The Memorandum of Understanding, signed in the presence of Indian Prime Minister Narendra Modi and Dutch Prime Minister Rob Jetten, commits ASML to provide advanced lithography equipment and solutions for the planned facility. Tata Electronics is investing approximately $11 billion in the project, which aims to produce 300-millimeter wafers for chips used in automotive systems, mobile devices, and artificial intelligence applications.

ASML is a globally critical supplier of lithography systems, the machines essential for etching microscopic circuits onto silicon wafers. The partnership is viewed as a foundational step for India, which has significant design and engineering talent but has historically lacked large-scale chip manufacturing capability. Industry analysts note that securing access to this advanced equipment is vital due...