India Approves Sixth Semiconductor Unit, JV by HCL and Foxconn
The Union Cabinet, under the leadership of Prime Minister Narendra Modi, has given the green light for setting up a new semiconductor manufacturing facility in Uttar Pradesh as part of the India Semiconductor Mission. This marks the sixth approved unit in the country, with five others already in advanced stages of construction.
The latest unit will be a joint venture between Indian tech giant HCL and global electronics manufacturer Foxconn. It will be set up near the upcoming Jewar Airport in the Yamuna Expressway Industrial Development Authority (YEIDA) region. The facility will focus on producing display driver chips used in devices such as smartphones, laptops, PCs, cars, and other electronic gadgets. Designed for a capacity of 20,000 wafers per month, the unit aims to manufacture up to 36 million chips monthly.
The project will attract an investment of ₹3,700 crore, further solidifying India’s position in the global semiconductor supply chain. This development is aligned with the vision of a self-reliant India (Atmanirbhar Bharat) and aims to reduce dependence on imported chips.
India’s semiconductor ecosystem is growing rapidly, with design hubs emerging across various states. Over 270 academic institutions and 70 startups are currently involved in chip design, and students have already developed 20 semiconductor products, successfully taped out by SCL Mohali.
In parallel, global semiconductor ecosystem players like Applied Materials, Lam Research, Merck, Linde, and Air Liquide have strengthened their presence in India. This growing infrastructure is vital to support the increasing domestic demand for semiconductors driven by rising production of smartphones, servers, medical devices, defence equipment, and consumer electronics.
This new chip unit is a significant step toward making India a global hub for semiconductor manufacturing and innovation.
Source: PIB
