Gujarat's semiconductor bet: 18-year-old’s ₹80 crore startup aims to break China’s grip

An 18-year-old entrepreneur from Ahmedabad has stepped in to plug critical supply chain gaps in India's expanding domestic chip ecosystem by founding a manufacturing startup focused on a vital component used in semiconductor packaging.

Rehan Mansuri has founded Micronex, which will produce lead frames — ultra-thin metal structures that act as the structural backbone during semiconductor chip packaging, ANI reported. These copper-alloy frames, with thicknesses between 0.1 mm and 0.25 mm, support the chip, aid heat dissipation, protect it during manufacturing, and allow design flexibility.

Micronex’s unit will come up at the Sanand Industrial Estate with an initial investment of ₹80 crore. The first phase is planned for an annual capacity of 50 crore lead-frame units, with construction already underway and production targeted from May 2027. Once operational, the factory is expected to directly employ around 250 young people.

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Tie-up with Kaynes in Semicon

During SEMICON India 2026 in New Delhi (September 17-19), Micronex signed an MoU for a business partnership with Kaynes Semicon, opening a supply channel to semiconductor companies in the region. Initially, the startup will cater to the power electronics and automotive sectors, with plans to expand into consumer electronics and telecommunications as capacity scales.

'Supply chain gaps' behind manufacturing bet

Mansuri, who comes from a family running seven plastic-waste recycling units across India, said early exposure to business shaped his choice to enter hard manufacturing rather than software. “Under the leadership of our Prime Minister Narendra Modi, India is investing heavily in this sector. The industry is still evolving, and I noticed several gaps in its supply chain, specifically regarding lead frames, so I felt that supply capabilities needed to be strengthened here,” he said.

He added that Gujarat’s rapidly developing semiconductor ecosystem and proximity to Sanand-based fabs were key factors. “Being located near semiconductor companies in Sanand, we aim to provide faster logistics, delivery and engineering support,” Mansuri said. When asked about competition from low-cost Chinese products and established global players, he said the initial focus is not on head-to-head rivalry but on filling local supply gaps.

Gujarat’s ₹1.4 lakh crore semiconductor push

The move comes as Gujarat attracts roughly ₹1.4 lakh crore in investments into its semiconductor ecosystem, with Chief Minister Bhupendra Patel highlighting new opportunities for the state’s youth in the sector.

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With lead frames accounting for 5-15% of semiconductor manufacturing costs and most of India’s packaging materials still imported from China, Japan and South Korea, Micronex’s Sanand plant is expected to help cut import dependence, shorten delivery cycles and strengthen the local supply chain for power electronics and automotive chips.