HCL-Foxconn joint venture: U.P. logs into India’s semiconductor mission
Uttar Pradesh’s first semiconduct unit in the YEIDA area is expected to attract investment of ₹3,700 crore; Yogi thanks PM, says it’s a historic step towards ‘Atmanirbhar Bharat’
The Uttar Pradesh government’s efforts to woo investment got a major boost as the Union cabinet on Wednesday gave its nod to set up India’s sixth semiconductor unit near the Jewar airport in the Yamuna Expressway Industrial Development Authority (YEIDA) area.
The new semiconductor unit – the first in Uttar Pradesh – will be set up by HCL and Foxconn. It is expected to attract investment of ₹3,700 crore.
There are five semiconductor units in advanced stages of construction under India Semiconductor Mission. The sixth unit takes India’s journey to develop strategically vital semiconductor industry ahead.
The proposed HCL-Foxconn plant will manufacture display driver chips for mobile phones, laptops, automobiles, PCs, and myriad other display devices. Designed for 20,000 wafers per month, it will have output capacity of 36 million units per month.
Chief minister Yogi Adityanath thanked Prime Minister Narendra Modi for the Union Cabinet’s approval and called it a historic step towards ‘Atmanirbhar Bharat’ in a post on X.
Hailing the move, Pilibhit MP and Union minister of state for electronics and information technology Jitin Prasada said Prime Minister Narendra Modi’s vision to make India a hub of the semiconductor industry is taking shape.
He thanked the prime minister for selecting Uttar Pradesh for this important unit that would create jobs on a large scale. An electronics hub is also coming up at YEIDA, he said.
“It’s a great achievement that a company like Foxconn is investing in Uttar Pradesh. We hope Foxconn will invest further in Uttar Pradesh,” said UP chief secretary Manoj Kumar Singh.
Unveiling the Uttar Pradesh Semiconductor Policy 2024 last year, the state government had announced incentives for the semiconductor manufacturing industry to make the state a preferred destination for investment in this sector.
The Prime Minister’s strong pitch for the country’s chip manufacturing capabilities, while inaugurating Semicon India 2024 at India Expo Mart, Greater Noida on September 11, 2024, raised hopes further. More than 250 countries from 24 countries participated in the Semicon India 2024.
World-class design facilities have come up in many states and various state governments are making efforts to attract investment in the sector.
State governments are vigorously pursuing design firms and students and entrepreneurs in 270 academic institutions and 70 startups are working on world class latest design technologies for developing new products, said an official press release.
Twenty products developed by the students of these academic students have been taped out by SCL Mohali, it said. As the country moves forward in semiconductor journey, the eco system 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 the growth of the semiconductor industry.
The Uttar Pradesh cabinet, on November 4, 2024, approved investment of over ₹32,000 crore for setting up semiconductor units in the Yamuna Expressway area, clearing incentives under provisions of the state’s semiconductor policy. These included M/S Tarq Semiconductors Private Limited proposing investment of ₹28440 crore to set up semiconductor manufacturing units.
