The initiative is expected to support investment across the semiconductor supply chain
Tamil Nadu Chief Minister C Joseph Vijay on Thursday launched the Tamil Nadu Semiconductor Ecosystem Scheme to attract investments across the semiconductor value chain and strengthen the state’s position as a hub for advanced electronics manufacturing.
Launched at the state Secretariat, the scheme will provide additional financial incentives over and above support available from the Union government. It aims to encourage companies to establish and expand semiconductor-related operations in Tamil Nadu, covering wafer fabrication, raw materials, assembly, testing, packaging and supply.
The scheme will be implemented under two categories. The first will provide additional incentives to projects approved under the Union government’s Semicon India Programme 2.0 and the India Semiconductor Mission. The second category will offer customised, need-based incentives to eligible projects that are not covered by the central schemes but are considered strategically important for developing Tamil Nadu’s semiconductor ecosystem.
Earlier, while presenting the demand for grants for 2026-27, Industries Minister S Keerthana had announced plans for a dedicated incentive scheme aligned with the Union government’s semiconductor support programme. The scheme is intended to address the specific requirements of companies investing in semiconductor manufacturing and related activities in the state.
The initiative is expected to support investment across the semiconductor supply chain, strengthen advanced manufacturing capabilities and create opportunities for the expansion of Tamil Nadu’s semiconductor and electronics industries.
Industries Minister S Keerthana, Chief Secretary Dr M Saikumar, Additional Chief Secretary S Vijayakumar, and Deepak Jacob, Managing Director and Chief Executive Officer of Guidance, along with senior officials, attended the launch.
The Union Cabinet approved the Semicon India Programme 2.0 on July 15, 2026, to strengthen India’s semiconductor value chain. Tamil Nadu’s new scheme seeks to complement the central initiative with state-level financial support and customised incentives for strategically important projects.
