Tata Electronics, ASML ink pact to boost semiconductor manufacturing in India

TAta Electronics and dutch people come off equipment john major ASML signed an accord on sabbatum to boost India’s semiconductor manufacturing ecosystem as Prime Minister Narendra Modi and his Netherlands counterpart Rob Jetten held talks on enhancing cooperation in areas ranging from trade to technology.The Netherlands was the second stop of Modi’s five-nation tour that began with the United Arab Emirates on Friday. Besides their bilateral meeting, Modi and Jetten also held discussions with CEOs of leading Dutch companies from sectors such as energy, ports, health, agriculture and technology.Ahead of the meeting with the CEOs, ASML and Tata Electronics signed the agreement in the presence of the two leaders, who welcomed the decision by the firms to partner for India’s first front-end semiconductor fabrication unit at Dholera, Gujarat.A joint statement from the two firms said: “Through this partnership, ASML will enable the establishment and successful ramp-up of Tata Electronics’ upcoming 300 mm (12-inch) semiconductor fab in Dholera, Gujarat. This collaboration is an important step in the context of the intensifying strategic collaboration between India and the Netherlands in the field of critical technologies, such as semiconductor technology.”ASML is known for its monopoly in the manufacture of photolithography machines, which are critical for producing advanced microchips. Tata Electronics is setting up India’s first semiconductor wafer fabrication plant with an investment of ₹91,000 crore.The collaboration between the two companies will focus on deploying ASML’s suite of advanced lithography tools and solutions for the Dholera fab. The use of ASML’s industry-leading technologies is expected to ensure seamless operations at India’s first commercial 300-mm semiconductor fab, the statement said.The partnership will look at accelerating the training of local talent, lithography-intensive skill development, and proactive supply-chain resilience. Given the importance of lithography in chip manufacturing, the companies will develop research and development infrastructure critical for the long-term success of the fab.The Dholera unit of Tata Electronics aims to manufacture semiconductors for applications across automotive, mobile devices, artificial intelligence and other key segments to serve customers globally. Tata Electronics has partnered with key global customers and ecosystem companies, starting with Powerchip Semiconductor Manufacturing Corporation of Taiwan.While addressing the Dutch CEOs, Modi noted that more than 300 Dutch companies are “part of the India story” because of their confidence in the country. This has made the Netherlands India’s largest investor and the second-largest trading partner from Europe.While NXP Semiconductors, Philips and Prosus are creating world-leading solutions with Indian talent, firms such as APM Terminals, Damen Shipyards Group and Royal Vopak are transforming India’s port, shipping and logistics sectors, Modi said.“The optimism towards India is clearly visible in all of your words today. We guarantee that this optimism will translate into an outcome,” he said, adding that India is a symbol of scale and stability. “No one in the world can match India’s speed — whether in infrastructure, clean energy, or connectivity. That’s why India contributes 19% to global growth today.”In the context of stability, Modi said his government had “transformed our economic DNA” through continuous reforms. “Our direction has been clear — to provide policy predictability to the private sector and expand opportunities for them,” he added.The India-European Union free trade agreement, negotiations for which were concluded in January, will become a strong foundation for shared prosperity, he said.“To unlock the full potential of this FTA, Prime Minister Jetten and I are taking several important decisions today. We are elevating this India-Netherlands trusted partnership to a strategic partnership. We are launching an ambitious joint roadmap in green hydrogen. We are making our technology relationship future-ready,” Modi said.Earlier in the day, the Leiden University Library restituted the 11th-century Chola Copper Plates to the Indian government in the presence of Modi and Jetten. The set of 21 large plates and three small plates are royal charters issued by the Chola kings. These charters formalise the gifting of Anaimangalam village to a Buddha vihara called Chulamanivarma at Nagapattinam in Tamil Nadu. The plates contain texts in Tamil and Sanskrit.The restitution of these items assumes significance “since they are not merely artefacts of the past, but an invaluable story of India’s heritage and civilisation”, the external affairs ministry said.Modi also met King Willem-Alexander and Queen Máxima of the Netherlands at Palace Huis ten Bosch in The Hague, and exchanged views on strengthening bilateral relations, including through the deepening of people-to-people ties. The leaders expressed satisfaction at ongoing initiatives in education, innovation, semiconductors and green partnerships.