Fujifilm Holdings plans to establish a semiconductor materials factory in Gujarat, western India, as the company positions itself to capitalize on the country’s emerging chip supply chain that’s growing amid the global shift of high-tech manufacturing away from China.
The Japanese corporation will acquire land for the facility this year and begin construction as early as 2026, with operations expected to commence around 2028. The investment will total several billion yen (with ¥1 billion equivalent to approximately $6.9 million). The plant will focus on producing chemicals that remove impurities in the chip manufacturing process, with plans to develop additional specialized solutions.
Initially, Fujifilm will supply materials to Tata Electronics, which is collaborating with Taiwan’s Powerchip Semiconductor Manufacturing Corp. to build a chip factory in the same state. Until its Gujarat facility is operational, Fujifilm will supply India from its existing plants in Europe, the United States, and elsewhere in Asia.
The move aligns with India’s 2021 initiative to invest ¥760 billion rupees ($9.02 billion) in semiconductor and display production. Foreign manufacturers have been actively entering India’s semiconductor sector, including Japan’s Renesas Electronics, which is building an assembly and testing facility in Gujarat through a joint venture with a local conglomerate.
Other Japanese suppliers are following suit, with Sumitomo Chemical exploring providing cleaning chemicals and Tokyo Electron establishing a design and software development facility for manufacturing equipment this year.
