A key milestone in India’s semiconductor manufacturing journey
Sanand, Gujarat, 4 July 2026: CG Semi Private Limited (CG Semi), established as a joint venture between CG Power and Industrial Solutions Ltd. of the Murugappa Group, Renesas Electronics Corporation, and Stars Microelectronics. Headquartered in Gujarat, CG semi today announced the commencement of commercial production at its G1. Outsourced Semiconductor Assembly and Test facility in Sanand. The launch was held in the august presence of Hon’ble Prime Minister of India Shri Narendra Modi, Hon’ble Chief Minister of Gujarat Shri Bhupendra Patel and Hon’ble Minister of Railways, Information & Broadcasting and Electronics & Information Technology Shri Ashwini Vaishnaw.
The G1 facility, inaugurated in August 2025, has a peak capacity of up to 300 million units per year. Since inauguration, the facility has progressed through equipment installation, process stabilization, workforce training, customer qualification, and quality readiness. With commercial production now underway, CG Semi is positioned to serve customers across the globe.
Backed by central and state government support, and in collaboration between CG Power, Renesas Electronics Corporation and Stars Microelectronics, CG Semi is investing over ₹7,600 crore over five years to develop two OSAT facilities – G1 and G2. While G1 has now commenced commercial production, the second facility, G2, is under development and will significantly scale CG Semi’s production capacity once operational.
CG Semi has built a strong talent foundation by bringing together semiconductor professionals with deep experience across assembly, packaging and testing. The company has invested in training Indian engineers, operators, and technicians for high- volume OSAT operations, strengthening India’s semiconductor talent base.
Quality has been central to CG Semi’s operating model from day one. The G1 facility is equipped with high-yield production systems, robust process controls, manufacturing traceability, and in-house reliability and failure analysis capabilities.
Speaking on the occasion
“Today, this first shipment speaks louder than any words. It reflects the enormous belief behind these small chips and the combined effort of a remarkable team.”
- Advanced semiconductor assembly capabilities
- High-quality semiconductor testing infrastructure
- Support for India's growing electronics ecosystem
- Creation of skilled employment opportunities
About CG Semi
CG Semi is one of India’s first dedicated Outsourced Semiconductor Assembly and Test (OSAT) companies, established as a joint venture between CG Power and Industrial Solutions Ltd.(Murugappa Group), Renesas Electronics Corporation(a global semiconductor player), and Stars Microelectronics(a Thailand-based OSAT & EMS player). Headquartered in Sanand, Gujarat, CG Semi provides turnkey solutions solutions for semiconductor assembly and test, covering advanced and legacy packages such as SOIC, QFP, QFN, BGA, FCQFN, and FCBGA. The company serves diverse applications across industries such as Automotive, Defence, Infrastructure, and IoT.
For more information, please visit www.cgsemi.com
Twitter: @CGSEMI_Official
LinkedIn: CG Semi
For media information, please contact:
Jini PK: +91 94450 34039
About Murugappa Group
A 125-year-old conglomerate with presence across India and the world, the INR 902 billion (90,178 crore) Murugappa Group has diverse businesses in agriculture, engineering, financial services and more.
The Group has 10 listed companies: Carborundum Universal Limited, CG Power & Industrial Solutions Limited, Cholamandalam Financial Holdings Limited, Cholamandalam Investment & Finance Company Limited, Coromandel International Limited, E.I.D.-Parry (India) Limited, NACL Industries Limited, Shanthi Gears Limited, Tube Investments of India Limited, and Wendt (India) Limited. Other major companies include Cholamandalam MS General Insurance Company Limited and Parry Agro Industries Limited. Brands such as Ajax, Hercules, BSA, Montra, Montra Electric, Mach City, Chola, Chola MS, CG Power, Shanthi Gears, CUMI, Gromor, Paramfos, Parry’s are part of the Group’s illustrious stable.
Abrasives, technical ceramics, electrominerals, electric vehicles, auto components, fans, transformers, signalling equipment for railways, bicycles, fertilisers, sugar, tea, and several other products make up the Group’s business interests.
Guided by the Five lights-integrity, passion, quality, respect, and responsibility-and a culture of professionalism, the Group has a workforce of 94,041employees.
For more details, visit www.murugappa.com