The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday, May 14, 2025, approved the setting up of yet another semiconductor unit under the India Semiconductor Mission. It is significant to note that five semiconductor units are already in the advanced phases of construction. With the approval of this sixth facility, Bharat takes another vital step in its ambitious journey to build a robust and strategically important semiconductor industry.
The newly approved unit will be a collaborative effort between HCL and Foxconn. HCL brings decades of experience in developing and manufacturing hardware, while Foxconn is a global leader in electronics manufacturing. The two giants will jointly establish the semiconductor facility near the upcoming Jewar airport within the Yamuna Expressway Industrial Development Authority (YEIDA) region.
The semiconductor unit approved today is expected to attract a substantial investment of Rs 3,700 crore.
This semiconductor plant will focus on producing display driver chips used in a wide range of devices including mobile phones, laptops, automobiles, PCs, and several other display-based electronic products. The facility is designed to handle the production of 20,000 wafers each month, with an impressive design output capacity of 36 million units per month.
India’s semiconductor industry is now steadily taking shape across the nation. Several states have already established world-class design facilities. State governments are actively promoting and supporting the growth of design firms. Currently, students and innovators from 270 academic institutions, along with 70 startups, are deeply engaged in creating cutting-edge design technologies aimed at developing new electronic products. Remarkably, 20 innovative products designed by students from these institutions have already been successfully taped out at SCL Mohali.
As Bharat advances on its semiconductor development path, supporting ecosystem partners have also begun establishing their operations within the country. Applied Materials and Lam Research, two of the world’s leading equipment manufacturers, now have an established presence in India. Furthermore, critical gas and chemical suppliers such as Merck, Linde, Air Liquide, Inox, and others are ramping up their operations in anticipation of the industry’s growth.
With the ever-increasing demand for semiconductors driven by the rapid expansion of manufacturing in sectors such as laptops, mobile phones, servers, medical devices, power electronics, defense equipment, and consumer electronics, this newly sanctioned semiconductor unit will further reinforce Prime Minister Narendra Modi’s vision of an Atmanirbhar Bharat.