Cabinet approves Rs.3,706 crore HCL-Foxconn display chip facility in UP

Cabinet clears sixth semiconductor unit in UP’s Jewar, boosting Atmanirbhar Bharat vision

The Union Cabinet on Wednesday approved a Rs.3,706 crore semiconductor plant at Jewar in Uttar Pradesh, to be set up by the HCL-Foxconn joint venture to manufacture display driver chips for mobile phones, laptops, and automobiles. The plant will have the capacity to handle 20,000 wafers per month, and 3.6 crore chips will be produced per month, Information and Broadcasting Minister Ashwini Vaishnaw said while briefing the media on the Cabinet decision.

The Minister said that the plant will make driver chips for displays used in mobile phones, laptops, automobiles, and other devices. “The Cabinet has approved a sixth semiconductor plant that will be set up in Jewar, Uttar Pradesh. It is a joint venture between HCL and Foxconn to manufacture display driver chips. These chips control the quality and format of the content displayed on screen. It is a very advanced technology that is being set up,” Vaishnaw said.

Foxconn is the biggest manufacturer of electronic products, including Apple’s iPhone. “What we understand is that once this unit is there, then the display panel plant will also come to India. This will meet 40 percent of India’s capacity. It is a large plant. It will also meet the requirements of Foxconn for the rest of the world,” Vaishnaw said

These chips control the function and format of content on the screen of devices. The HCL-Foxconn JV will become operational in 2027, the Minister said. The plant is expected to create employment for 2,000 people, he noted. The electronics manufacturing industry in India, at present, employs around 25 lakh people, he added. “Semiconductors are basic components. It will have a multiplier effect on the entire electronics manufacturing in the country,” Vaishnaw said.

The new semiconductor unit approved today will attract investment of Rs 3,700 crore. “As the country moves forward in its 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 the growth of our semiconductor industry.

“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 Shri Narendra Modiji’s vision of Atmanirbhar Bharat, said the statement issued by Government of India.

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