June 12, 2025 /SemiMedia/ — Micron Technology has received approval from the Indian government to establish a semiconductor-focused special economic zone (SEZ) in Sanand, Gujarat, under a ₹130 billion (approx. $1.6 billion) investment plan. The SEZ, spanning 37.64 hectares, will support advanced chip assembly, testing, and packaging operations, bolstering India’s domestic semiconductor capabilities.

The move comes as part of India’s broader strategy to attract global semiconductor firms and localize high-tech manufacturing. In parallel, Aequs Group’s Hubballi Durable Goods Cluster Private also received approval to set up a ₹1 billion SEZ for electronics components in Dharwad, Karnataka.

These developments follow new SEZ rules introduced on June 3 that ease land and regulatory requirements for semiconductor projects. The reforms lowered the minimum land threshold for electronics SEZs from 50 to 10 hectares, allowed domestic supply after duties, and relaxed mortgage and title conditions. Additionally, the changes permit the inclusion of free-of-cost goods in net foreign exchange (NFE) calculations, using customs valuation standards.

India’s Ministry of Commerce said the revised rules aim to build a robust semiconductor manufacturing ecosystem, attract targeted investment, and generate high-skilled jobs. Micron’s project is seen as a milestone in India’s efforts to become a significant player in the global chip supply chain.