Jewar gets semiconductor plant, cabinet gives nod for India's sixth unit

It will be a joint venture of HCL and Foxconn, to be set up near Jewar airport. Production will start from 2027.

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.

The chip unit will attract investment worth Rs 3,700 crore.

The works on other five units are currently underway, and of them is expected to be inaugurated later this year, Union Minister Ashwini Vaishnaw told reporters after the Caninet meeting, chaired by Prime Minister Narendra Modi.

The unit at Jewar will have 20,000 wafers per month capacity, and the chips 36 million (3.6 crore) per month, the minister said.

The chips produced at the Jewar plant will be used in mobile phones, laptops, automobiles, PCs, among others.

The semiconductor industry in India is still in a nascent stage, with various local and multinational companies intending to tap its vast potential. Chip shortages during Covid realised the importance of indigenous manufacturing to fill deficiency, for national security and galvanise indigenous innovation.

The other five semiconductors are under construction in Gujarat and Assam.

"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 government said.

"Semiconductor industry is now shaping up across the country. World class design facilities have come up in many states across the country. State governments are vigorously pursuing the design firms."

Students and entrepreneurs in 270 academic institutions and 70 startups are working on world class latest design technologies for developing new products. 20 products developed by the students of these academic students have been taped out by SCL Mohali.

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 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 India's vision of Atmanirbhar Bharat.