Tata Group is looking to foray into semiconductor manufacturing, chairman N. Chandrasekaran said on Monday.

Chandrasekaran estimated the market opportunity of high-tech manufacturing of electronics at $1 trillion and said Tata Group has already set up a business to seize the opportunity.

His remarks come days after the $100-billion group announced entry into 5G equipment manufacturing and a string of acquisitions to create the Tata Digital business. Semiconductor manufacturing requires high investments and India does not have any such facility yet.

Chandrasekaran explained that alterations to the global supply chains, which are heavily dependent on China, in the aftermath of the pandemic and geopolitical changes, will make businesses shift their reliance on other countries and called this a huge opportunity for India, which becomes the second base.

“At the Tata group, we have already pivoted into a number of new businesses like electronics manufacturing, 5G network equipment as well as semiconductors, in all probability.