Android Chip Custom Height Or Padding - Chipgroup spacing

Belows are the Chip Attributes for padding. Hopefully, It may help you

Paddings

app:chipStartPadding
app:iconStartPadding
app:iconEndPadding
app:textStartPadding
app:textEndPadding
app:closeIconStartPadding
app:closeIconEndPadding
app:chipEndPadding

Fore more info: Click here

In the 1.1.0-alpha* versions extra spacing is added for the chip. After a lot of hit and trial I managed to remove that spacing using:

app:chipMinTouchTargetSize="0dp"

Looking at the class file for Chip, it seems that it's related to Android's minimum touch target size, so consider that before changing this.

In order to make a Chip thinner, you need to adjust two properties: chip height and text size.

<style name="ThinnerChip" parent="Widget.MaterialComponents.Chip.Action">
    <item name="chipCornerRadius">12dp</item>
    <item name="chipMinHeight">24dp</item>
    <item name="android:textAppearance">@style/SmallerText</item>
</style>

<style name="SmallerText" parent="TextAppearance.AppCompat.Small">
    <item name="android:textSize">11sp</item>
</style>

Then apply the style as ussually.

<com.google.android.material.chip.Chip
    style="@style/ThinnerChip"
    ...
    />