Micron has recently disclosed its intention to construct a novel assembly and testing facility in Gujarat by investing $825 million. This announcement follows a meeting between Prime Minister Narendra Modi and Micron Technology CEO Sanjay Mehrotra, during which Modi urged Mehrotra to boost semiconductor manufacturing in India. The facility is expected to cater to both domestic and international markets.
The company has revealed that the construction of the new assembly and test facility will commence in phases in 2023. The first phase of the project, which will span 500,000 square feet, will become operational in late 2024. The second phase of the project is likely to begin in the second half of the project timeline.
Micron has stated that it will receive 50% fiscal support for the total project cost from the Government of India. Additionally, the Gujarat government will provide incentives amounting to 20% of the total project cost. The combined investment by Micron and the two government entities across both phases is expected to total $2.75 billion.
During a press conference on Monday, Union Minister for Railways, Electronics, IT, and Telecom Ashwini Vaishnaw announced that Micron Technology, headquartered in the US, will establish its semiconductor facility in Gujarat. Vaishnaw stated that the plant’s first locally produced semiconductor chip will be available in 18 months, specifically in December 2024.
The upcoming Micron plant in Gujarat will be a state-of-the-art facility and will contribute to the expansion of India’s semiconductor ecosystem, according to Vaishnaw. Additionally, Micron is the fifth-largest manufacturer of semiconductors utilized in mobiles, laptops, servers, defense equipment, cameras, electric vehicles, trains, cars, and telecom equipment around the world.
The project will also lead to the creation of 5,000 direct jobs and 500 new high-end engineering jobs.
