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Merck and Tata Electronics Sign Strategic MoU to Develop India's Semiconductor Manufacturing Capabilities

By Parvathy S   Edited by Anandu Manoj
Last Updated on Sep 03, 2025, 04:00 AM IST
Merck and Tata Electronics Sign Strategic MoU to Develop India's Semiconductor Manufacturing Capabilities

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Merck, a leading science and technology company, and Tata Electronics Private Limited have signed a strategic Memorandum of Understanding (MoU) to jointly develop capabilities in semiconductor materials, semiconductor fabrication infrastructure, and specialty chemical and gas distribution in India. The collaboration focuses on safety, manufacturing excellence, and capabilities in semiconductor materials, sub-fab infrastructure, and specialty chemical and gas distribution.

Partnership Details and Services

Under the agreement, Merck will offer its full suite of products and services for Tata Electronics' upcoming fabrication facility in Dholera, Gujarat. This comprehensive package includes high-purity electronic materials, advanced gas and chemical delivery systems, turnkey fab infrastructure services, and Material Intelligence solutions powered by artificial intelligence.

Merck will also share best practices in safety and manufacturing excellence as part of the partnership. The company will provide access to Athinia, a secure data analytics platform designed for collaboration on relevant information among participants across the semiconductor industry. The partnership encompasses plans for localized warehousing, development of the raw material supply chain, cultivation of talent, and the establishment of industry processes and standards in India.

Executive Statements

Dr. Kai Beckmann, Member of the Executive Board of Merck and CEO of Electronics, stated that India's semiconductor journey is gathering global momentum, and Merck is proud to be among the first to power it since its inception. He described the collaboration with Tata Electronics as reflecting the company's long-standing strategy to be a trusted partner in key growth markets, enabling scale through safety, precision, and innovation.

The aim is to build a resilient and future-ready materials ecosystem that supports India's semiconductor aspirations. Dr. Randhir Thakur, CEO & MD of Tata Electronics, expressed the company's bold vision of becoming a leader in semiconductor manufacturing by offering integrated solutions across the value chain to global customers.

He emphasized that the strategic partnership with Merck brings world-class expertise in advanced materials and a shared commitment to the highest standards of safety and manufacturing excellence. By leveraging Merck's decades of global experience in chemical safety, process optimization, and digital tools, the partnership will build a resilient ecosystem and accelerate the timely execution of the Fab in Dholera, Gujarat.

Together, the companies aim to set new benchmarks in quality, safety, and innovation for the global semiconductor industry.

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Tata Electronics' Dholera Facility

Tata Electronics is building India's first fabrication facility in Dholera, Gujarat, with a total investment of INR 91,000 crores, equivalent to approximately USD 11 billion. The facility will produce semiconductor chips for applications across automotive, mobile devices, artificial intelligence, and other key segments to serve customers globally.

The construction of this facility is progressing rapidly. The company recognizes it is crucial to foster partnerships across the entire semiconductor ecosystem, encompassing process and design technology, materials, equipment, and other critical aspects.

Strategic Significance

The MoU supports the goals of the India Semiconductor Mission and reflects both Tata Electronics' and Merck's role as early movers in enabling indigenous semiconductor capabilities. The partnership demonstrates the collaborative approach needed to establish a comprehensive semiconductor manufacturing ecosystem in India, bringing together international expertise with local manufacturing capabilities.

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