Nexperia and Tata Electronics Announce Major Chip Manufacturing Partnership in India
Strategic Partnership Details and Industry Impact
By Toby Sterling
Announcement of the Partnership
AMSTERDAM, Sept 17 (Reuters) - Dutch chipmaker Nexperia announced a far-reaching partnership with Tata Electronics on Thursday to manufacture and package computer chips in India, further sealing its split with Chinese parent Wingtech.
Manufacturing and Packaging Collaboration
Production at Tata's Dholera Plant
Under the deal, Nexperia and Tata will manufacture a swathe of Nexperia's power control chips at the $11 billion plant Tata is constructing in Dholera. The companies will also cooperate on testing and assembling chips at Tata's packaging facility in Jagiroad, they said.
Financial and Technological Cooperation
Financial terms were not disclosed. The firms will also cooperate on developing future technology.
Statements from Key Executives
Comment from Tata Electronics CEO
"This comprehensive partnership ... represents an important step in Tata Electronics’ efforts to build a globally competitive, integrated semiconductor manufacturing ecosystem in India," Tata Electronics CEO Randhir Thakur said in a statement.
Background and Industry Context
Nexperia's Role in the Semiconductor Industry
Nexperia is an important maker of simple chips that are widely used in the automotive and consumer electronics industries. Its ongoing dispute with Wingtech was triggered by a September 2025 intervention by the Dutch state, which it said was aimed at preventing the company from moving operations to China.
Geopolitical Tensions and Their Effects
Beijing's Response and Chip Shortages
Beijing retaliated by temporarily banning exports of the company's chips, which were packaged in Dongguan, sparking chip shortages for carmakers.
Resolution and Current Status
That has eased after the governments reversed their moves, but the company remains fractured along national lines. A Dutch court has stripped Wingtech of control, and Thursday's partnership with Tata was endorsed by Nexperia's current management board.
Reporting Credits
(Reporting by Toby Sterling; Editing by Joe Bavier)
