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Business
Tata Electronics teams up with Malaysia's Kelington to set up chip plant in Gujarat
✍️ Free Malaysia Today
🗓 20 Sep 2026, 05:16 AM
👁 14
Tata Electronics has signed an agreement with Malaysian firm Kelington to establish a semiconductor manufacturing facility in Gujarat, marking a significant foreign partnership in India's chip sector.
Tata Electronics announced a strategic partnership with Malaysia-based Kelington to develop a semiconductor fabrication plant in the western Indian state of Gujarat. The collaboration aims to leverage Tata's manufacturing expertise and Kelington's chip design capabilities to produce advanced integrated circuits for domestic and export markets.
The joint venture is expected to create a modern chip manufacturing hub, contributing to India's goal of reducing reliance on imported semiconductors. Both companies said the plant will incorporate state-of-the-art equipment and adhere to global quality standards.
While the exact investment amount and timeline were not disclosed, officials indicated that the project will generate skilled employment opportunities and support the broader Make in India initiative.
Industry analysts view the partnership as a positive signal for the Indian electronics ecosystem, which has been seeking more local sources of high‑performance chips to meet growing demand in sectors such as automotive, telecommunications and consumer electronics.
The Gujarat government has welcomed the venture, highlighting its commitment to fostering a conducive environment for high‑technology manufacturing and foreign investment.
The joint venture is expected to create a modern chip manufacturing hub, contributing to India's goal of reducing reliance on imported semiconductors. Both companies said the plant will incorporate state-of-the-art equipment and adhere to global quality standards.
While the exact investment amount and timeline were not disclosed, officials indicated that the project will generate skilled employment opportunities and support the broader Make in India initiative.
Industry analysts view the partnership as a positive signal for the Indian electronics ecosystem, which has been seeking more local sources of high‑performance chips to meet growing demand in sectors such as automotive, telecommunications and consumer electronics.
The Gujarat government has welcomed the venture, highlighting its commitment to fostering a conducive environment for high‑technology manufacturing and foreign investment.