Cabinet approves HCL-Foxconn JV for Rs 3,706-crore semiconductor unit in UP's Jewar

Cabinet approves semiconductor unit in UP's Jewar at outlay of Rs 3,706 crore

The government on May 14 approved an HCL-Foxconn semiconductor joint venture, which will set up a wafers manufacturing plant at an estimated cost of Rs 3,706 crore at Jewar in Uttar Pradesh.

The proposed HCL-Foxconn semiconductor plant will manufacture display driver chips for mobile phones, laptops, automobiles, and other devices, said Union IT Minister Ashwini Vaishnaw while briefing the media on the decision taken by the Union Cabinet.

The unit will process 20,000 wafers per month. The Jewar semiconductor unit is designed for 36 million chips per month, said Vaishnaw.

Already five semiconductor units are in advanced stages of construction. With this sixth unit, Bharat moves forward in its journey to develop the strategically vital semiconductor industry, said government.

"Once this display driver gets properly done here, display panel will also come to India. This will also meet Foxconn's requirement for rest of the world," added Vaishnaw.

Production in this plant will begin by 2027, said Vaishnaw.

"HCL has a long history of developing and manufacturing hardware. Foxconn is a global major in electronics manufacturing. Together they will set up a plant near Jewar airport in Yamuna Expressway Industrial Development Authority or YEIDA," said government in a statement.

"With the demand for semiconductor increasing with the rapid growth of laptop, mobile phone, server, medical device, power electronics, defence equipment, and consumer electronics manufacturing in Bharat, this new unit will further add to Prime Minister Narendra Modi’s vision of Atmanirbhar Bharat," added government.

"We have made great leaps in electronic, defence, AI technology. The result is visible to everyone. Lot of countries now want to do co-production of latest technology with India," said Vaishnaw.

India's other five semiconductor development projects are in — Micron Technology - Sanand, Gujarat, Tata Electronics Private Limited (TEPL) in partnership with Powerchip Semiconductor Manufacturing Corp (PSMC), Taiwan - Dholera, Gujarat, Tata Semiconductor Assembly and Test Pvt Ltd (TSAT) - Morigaon, Assam, CG Power, in partnership with Renesas Electronics Corporation, Japan and Stars Microelectronics, Thailand - Sanand, Gujarat, and Kaynes Semicon - Sanand, Gujarat.