CHENNAI: In its bid to make the State a global hub for high-tech industries, Tamil Nadu allocated Rs 3,915 crore to the Industries, Investment Promotion, and Commerce Department in its budget presented on Thursday for 2025-26, which is around 70 % higher than the Rs 2,295 crore announced for the department in the budget for 2024-25.
The state has announced key initiatives, including a Semiconductor Fabless Lab in Chennai, a new airport in Rameswaram, and a Knowledge Corridor in Hosur. Additionally, the Tamil Nadu Maritime Transport Manufacturing Policy 2025 will drive investments in ship and boat design, hull fabrication, and engine production, creating 30,000 jobs.
A state-of-the-art Semiconductor Fabless Lab will be established in Chennai at a cost of Rs 100 crore in collaboration with leading industry players and academic institutions. This initiative aims to attract world-class semiconductor design firms and domestic startups, strengthening Tamil Nadu’s position in the global semiconductor ecosystem.
To further cement its status in semiconductor manufacturing, the government will develop semiconductor manufacturing parks in Sulur, Coimbatore, and near Palladam—each spanning 100 acres. These hubs will be developed in partnership with companies from the United States, Singapore, Malaysia, and Taiwan, positioning Coimbatore as a key economic driver.
Following the success of Global Capability Centres (GCCs) in Chennai and Coimbatore, the government plans to position Hosur as the next hub for GCCs and research and development centers. The upcoming Hosur Knowledge Corridor will feature world-class infrastructure, mirroring the transformation of Chennai’s Old Mamallapuram Road (OMR) into a thriving IT corridor. This initiative is expected to attract global IT firms and further industrial development in Hosur.