Employees of HCLTech walk inside the office premises on the outskirts of Lucknow, India.
Credit: Reuters File Photo
New Delhi: The Union Cabinet on Wednesday approved the setting up of a new semiconductor plant with an investment of Rs 3,706 crore near the upcoming Noida International Airport at Jewar in Uttar Pradesh. The project will be a joint venture between HCL Group and Taiwanese electronics giant Foxconn and will have a capacity to produce 3.6 crore chips per month.
Addressing a media briefing, Union Minister Ashwini Vaishnaw said commercial production from the new plant will start in 2027. This is the sixth semiconductor plant approved by the Cabinet under the Rs 76,000 crore India Semiconductor Mission.
For the new plant, the government is providing around Rs 1,500 crore worth of incentives under the semiconductor manufacturing scheme.
The HCL-Foxconn JV plant will be located at Yamuna Expressway Industrial Development Authority area. The plant will manufacture display driver chips for mobile phones, laptops, automobiles, PCs, and other devices that have displays, the minister said.
Around 2000 direct employment will be created from the new manufacturing unit. “India is now moving towards global leadership in semiconductor manufacturing and UP is emerging as a hub for high-end electronics and semiconductor production,” Uttar Pradesh Chief Minister Yogi Adityanath said in a social media post on X
Out of the total six approved semiconductor units so far, four are in Gujarat and one each in Assam and Uttar Pradesh.
“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,” the Ministry of Electronics & IT said in a statement.
As the country moves forward in the semiconductor journey, the ecosystem partners have also established their facilities in India. Applied Materials and Lam Research are two of the largest equipment manufacturers. Both have a presence in India now. Merck, Linde, Air Liquide, Inox, and many other gas and chemical suppliers are gearing up for growth of our semiconductor industry, it said.
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 the vision of Atmanirbhar Bharat, the ministry added.