Semiconductor Stocks: India to become a chip powerhouse – shares of these 4 companies could show strength

News Topical, Digital Desk : A recent UBS report estimates India's semiconductor industry will reach $108 billion by 2030. The country already has a strong presence in chip design, with approximately 20% of the world's semiconductor engineers employed in India. India is also rapidly expanding into chip fabrication and packaging-testing (OSAT).

The government's 'Make in India Chips' policy, PLI scheme and ISM scheme worth Rs 76,000 crore have boosted investor confidence in the sector. Partnerships have been struck with companies like Tata, Micron, Renesas and many listed companies are rapidly moving ahead in this race.

CG Power and Industrial Solutions CG Power, through its subsidiary CG Semi Pvt Ltd, has announced setting up two OSAT facilities, G1 and G2, in Sanand, Gujarat. The company has entered into a joint venture with Renesas Electronics and Stars Microelectronics and aims to invest Rs 7600 crore over the next five years. The G1 unit was launched on August 28, 2025 and has a capacity of 5 lakh units per day. After the completion of the G2 unit, the production capacity will increase to 1.45 crore units per day. The company also benefited from the stock market, with its stock rising from ₹664 after the launch of the G1 unit to ₹792 in September 2025. 

Kaynes Technology India Ltd., a Mysore-based company, is a leading Electronics Manufacturing Services (EMS) provider in the country. In March 2023, it entered the semiconductor business through Kaynes Semicon Pvt Ltd. A ₹3,307 crore OSAT facility has been developed in Sanand, Gujarat, consisting of 13 assembly lines and an R&D line for co-packaged optics. The government approved this under the ISM scheme. The stock's growth has also been robust. The stock, which was less than ₹1,000 in 2023, reached a peak of ₹7,822 in January 2025. It has returned over 26% in the past year and is currently trading around ₹6,690. 

Jubilant Ingrevia Ltd. This company doesn't directly manufacture chips, but supplies ultra-high-purity chemicals to semiconductor fabs. Its clients include TSMC, Intel, Tata, and Micron. Semiconductors account for only 5% of total revenue, but it's considered a significant supplier. The stock has gained approximately 3.5% over the past year but has fallen 17.5% year-to-date through 2025. The stock is currently trading at ₹679, with a P/E ratio of 38. 

Unimech Aerospace & Manufacturing Ltd. This Bengaluru-based company is building a strong presence in the semiconductor fab tools and production machinery supply chain. It manufactures precision components and sub-assemblies for wafer handling, etching chambers, and lithography machines. The company's technology includes CNC machining and micro-system engineering. Currently, semiconductors account for only 2% of total revenue, but it is a rapidly growing vertical. The stock had fallen 25% last year, but has jumped 9% in the recent five sessions to ₹1035. 

Expected to reach $108 billion, India's semiconductor industry is rapidly expanding from design to manufacturing and packaging and is expected to reach $108 billion by 2030. Companies like Tata, Micron, CG Power, and Kaynes are accelerating their growth in this sector, working towards making India a major hub for global chip manufacturing. 

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