Rir Power Electronics is investing 618 crore rupee (US$70.2 million) to build a silicon carbide (SiC) semiconductor facility in Bhubaneswar, Odisha.

The company, which specializes in high-power semiconductors, will receive fiscal support from the Odisha state government, covering half of the investment.

Construction will be carried out in two phases, with initial operations focused on epitaxial wafer growth starting this month, and a full SiC wafer fabrication plant expected by December 2027.

The new facility will produce high-voltage power components such as MOSFETs, IGBTs, and diodes.

The Odisha government is providing land and ongoing financial incentives for the project.

India’s semiconductor policy has recently given priority to SiC-based wafer manufacturing, and the government has approved the country’s first commercial SiC fab by SicSem Private Limited in collaboration with Clas-SiC Wafer Fab in Bhubaneswar.

RIR Power Electronics operates manufacturing sites in Mumbai and Halol, Gujarat, and reports that 20% of its revenue comes from exports.

🔗 Source: The Economic Times

🧠 Food for thought

1️⃣ India targets domestic production as global SiC market accelerates

RIR’s Rs 618 crore investment comes as the global silicon carbide market is experiencing rapid expansion, projected to grow from USD 3.94 billion in 2024 to USD 7.26 billion by 2030 with a CAGR of 10.72%2.

This timing is significant given India’s historical dependence on semiconductor imports. In 2015, 65% of local electronics demand was met by imports3.

The facility represents India’s strategic push to build domestic semiconductor capabilities in a high-growth segment, particularly as the government prioritizes SiC-based wafer manufacturing under the India Semiconductor Mission 2.01.

With only one other approved SiC facility in India, Chennai-based SicSem’s Rs 2,066 crore plant, RIR’s project indicates the early stages of India’s attempt to establish a foothold in this critical technology sector1.

2️⃣ High-voltage focus differentiates RIR in competitive SiC landscape

RIR’s strategy of targeting high-voltage applications up to 20,000 volts sets it apart from many competitors who focus on lower voltage levels1.