Tata Sons Chairman N. Chandrasekaran has defended the Tata Group’s move into semiconductors and electronics as a long-term bet tied to India’s growth. Speaking at a Bloomberg New Economy Forum 2026 roundtable, he said these investments should not be judged solely on their performance over the next two or three years, as chips will be essential to meet domestic demand.
Chandrasekaran said India has the talent and domestic market needed to increase its role in global supply chains. At the same time, he acknowledged that the country needs international partnerships because it does not possess all the required technologies. He also said companies must take risks without neglecting their balance sheets or losing sight of changes in demand.
Tata Electronics is developing a semiconductor plant in Dholera, in the state of Gujarat, in partnership with Taiwan’s Powerchip Semiconductor Manufacturing Corporation. The company is also preparing an assembly and testing facility in Assam, with planned capacity of 48 million chips a day. Information published by Business Standard does not specify the timetable for the facilities to begin operations or quantify the investment made so far in the two projects.
The Tata Sons chairman placed the strategy in an environment shaped, in his view, by the convergence of geopolitical tensions, technological advances and disruptions to supply chains. In the face of that uncertainty, he argued that companies should build resilience into their operations rather than focus exclusively on efficiency.
Chandrasekaran also said the group expects to maintain its margins and deliver double-digit growth, although he did not specify the period he was referring to or provide financial forecasts that would clarify that expectation. He also said he has asked Tata’s various companies to define resilience according to the characteristics of each business, rather than adopting a single framework for the entire conglomerate.
