Micronex to Build Semiconductor Lead-Frame Manufacturing Facility at Sanand

Ahmedabad-based semiconductor startup Micronex Technology is setting up a lead-frame manufacturing facility at GIDC Sanand in Gujarat, adding an important domestic component layer to India’s rapidly expanding semiconductor packaging ecosystem.

The project was highlighted by the Gujarat State Electronics Mission during SEMICON India 2026, where Micronex signed a memorandum of understanding with Kaynes Semicon. The facility is intended to support domestic semiconductor packaging and reduce dependence on imported lead frames.

Micronex Targets Domestic Lead-Frame Manufacturing

Lead frames are precision metal structures used in semiconductor packaging to support the chip and provide electrical connections between the semiconductor die and the external circuit.

Micronex plans to manufacture semiconductor packaging lead frames using high-speed progressive stamping along with in-house silver-spot and nickel-plating capabilities. The company is targeting an initial annual production capacity of around 500 million lead frames, equivalent to 50 crore units.

The planned product portfolio is expected to support semiconductor packaging applications across automotive electronics, industrial systems, power electronics and other high-volume chip segments.

Kaynes Semicon MoU Connects Micronex to Sanand’s Packaging Ecosystem

The Gujarat State Electronics Mission confirmed that Kaynes Semicon and Micronex signed an MoU for the proposed lead-frame manufacturing facility at GIDC Sanand.

The agreement creates a potential linkage between a domestic precision component supplier and one of India’s emerging semiconductor packaging companies. This kind of supplier integration is becoming increasingly important as India moves from isolated semiconductor projects towards a deeper local manufacturing ecosystem.

Micronex has positioned the project as part of a broader effort to work more closely with OSAT companies and semiconductor manufacturers operating in India.

Sanand Is Emerging as a Major Semiconductor Manufacturing Cluster

Sanand has rapidly developed into one of India’s most important semiconductor manufacturing locations.

Micron Technology began commercial production at its semiconductor assembly, test and packaging facility in Sanand in February 2026. Kaynes Technology also commenced production at its semiconductor plant, while CG Semi has expanded the region’s OSAT capacity.

This concentration of semiconductor assembly and packaging facilities is increasing demand for locally manufactured supporting components, including lead frames, packaging materials, tooling and precision-engineered parts.

Micronex Plans to Align With Semicon 2.0

The Gujarat State Electronics Mission has indicated that Micronex plans to submit a proposal under the India Semiconductor Mission’s Semicon 2.0 framework.

The next phase of India’s semiconductor strategy is expected to place greater emphasis on the wider supply chain, including materials, equipment, components and advanced packaging support systems.

Micronex’s planned Sanand facility fits directly into this shift by addressing a component category that is essential to semiconductor packaging but is still largely dependent on imports.

Local Lead Frames Can Strengthen India’s Chip Packaging Supply Chain

Lead frames are widely used in semiconductor packages for applications such as power devices, automotive electronics and industrial components.

Domestic production can help reduce supply-chain dependence, shorten procurement cycles and improve coordination between packaging companies and component manufacturers. It can also support faster product qualification and design adaptation for Indian semiconductor customers.

Building this capability in Sanand therefore strengthens the region’s role not only as a semiconductor assembly hub, but also as a growing base for upstream and supporting manufacturing.

Sanand Builds a More Complete Semiconductor Ecosystem

The Micronex project adds another layer to Gujarat’s semiconductor cluster at a time when India is working to build a more complete domestic chip value chain.

With major semiconductor packaging facilities already operating in Sanand, local production of lead frames can strengthen supplier integration and deepen the region’s precision-manufacturing capabilities.

The project supports India’s broader Make in India and semiconductor self-reliance goals by bringing another critical packaging component into the domestic manufacturing ecosystem.

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References

Gujarat State Electronics Mission — Official announcement on the Kaynes Semicon-Micronex MoU for a semiconductor lead-frame manufacturing facility at GIDC Sanand, September 2026.

Micronex Technology Private Limited — Official company information on the planned Sanand lead-frame manufacturing facility and targeted annual capacity of 500 million units.

Press Information Bureau, Government of India — Official releases on Micron Technology, Kaynes Semicon and CG Semi semiconductor facilities at Sanand, Gujarat, 2026.

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