# PM Modi Lays Foundation Stone for ASIP Chip Packaging Plant in Visakhapatnam

_Saturday, August 1, 2026 at 8:00 AM EDT · Infrastructure · Latest · Tier 2 — Notable_

![PM Modi Lays Foundation Stone for ASIP Chip Packaging Plant in Visakhapatnam — Primary](https://img-cdn.publive.online/fit-in/1200x675/ciol/media/media_files/2026/08/02/semi-2026-08-02-15-38-59.png)

Prime Minister Narendra Modi virtually laid the foundation stone for ASIP Technologies' semiconductor assembly, packaging, and testing facility in Visakhapatnam on August 1, marking Andhra Pradesh's entry into semiconductor manufacturing under the India Semiconductor Mission.

The facility is being established on a 30-acre site at Tarluvada in partnership with South Korean semiconductor packaging company APACT. The initial phase will involve an investment of more than 460 crore rupees and is expected to have an annual capacity of around 96 million semiconductor units. Andhra Pradesh Chief Minister N. Chandrababu Naidu joined the ceremony virtually.

The project is Andhra Pradesh's first semiconductor manufacturing facility approved under the India Semiconductor Mission. It also gives the state an entry point into the chip packaging and testing segment, a critical part of the semiconductor manufacturing value chain. The facility will operate as an outsourced semiconductor assembly and test, or OSAT, unit.

ASIP plans to begin production using wire-bond and flip-chip ball grid array packaging technologies. It aims to introduce more advanced 2.5D and 3D packaging capabilities within two to three years. The company has also outlined an additional investment of more than 2,000 crore rupees in a subsequent phase to expand its advanced-packaging operations. This would take the project's overall planned investment to roughly 2,500 crore rupees.

## Sources

- [ciol.com](https://www.ciol.com/news/pm-modi-lays-foundation-stone-for-asip-chip-packaging-plant-in-visakhapatnam-12221061)

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