14 May 2025 | News
Union Cabinet chaired by Prime Minister Shri Narendra Modi has approved the establishment of a sixth semiconductor manufacturing unit under the India Semiconductor Mission. The newly sanctioned unit will be a joint venture between HCL and Foxconn, two global leaders in electronics and hardware manufacturing.
The new facility will be located near Jewar Airport in the Yamuna Expressway Industrial Development Authority (YEIDA) region, significantly strengthening India’s positioning in the global semiconductor value chain. The plant will focus on manufacturing display driver chips used in mobile phones, laptops, automotive systems, PCs, and other electronic devices. Designed to handle 20,000 wafers per month, the facility is expected to produce up to 36 million display driver units monthly.
This announcement marks a key milestone in India’s efforts to develop a strategically vital, self-reliant semiconductor industry, with five other units already in advanced stages of construction.
“The approval of this sixth unit underlines our commitment to building a resilient semiconductor manufacturing base that supports the vision of an Atmanirbhar Bharat (Self-Reliant India),” said a senior government official. “With HCL’s legacy in hardware and Foxconn’s global manufacturing excellence, this collaboration brings world-class capabilities to Indian soil.”
The joint venture is expected to attract an investment of ₹3,700 crore (approximately USD 440 million) and create substantial employment opportunities while boosting domestic production of critical semiconductor components.
India’s semiconductor ecosystem has been gaining momentum with significant progress across design, research, and infrastructure:
World-class chip design centres have emerged across multiple Indian states.
Over 270 academic institutions and 70 startups are actively engaged in developing next-generation chip design technologies.
20 new product designs by students have already been taped out at Semiconductor Laboratory (SCL) Mohali.
Global ecosystem players are also expanding their footprint in India. Leading equipment manufacturers Applied Materials and Lam Research now have an established presence, while gas and chemical suppliers like Merck, Linde, Air Liquide, and Inox are preparing to meet the industry’s growing needs.
As demand for semiconductors surges across sectors—including mobile devices, servers, medical equipment, power electronics, defense systems, and consumer electronics—India’s latest semiconductor initiative is poised to enhance global supply resilience and advance its ambitions of becoming a leading electronics manufacturing hub.
