CG Semi Commences Commercial Production at G1 OSAT Facility in Gujarat

Gujarat, India – CG Semi Pvt Ltd 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 announced the commencement of commercial production at its G1 Outsourced Semiconductor Assembly and Test facility in Sanand. The launch was held in the presence of the Prime Minister of India Narendra Modi, the Chief Minister of Gujarat Bhupendra Patel, and the Minister of Railways, Information & Broadcasting and Electronics & Information Technology 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 INR 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, Vellayan Subbiah, Chairman, CG Power, said, “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.”

Image Source: Reuters