The Union Cabinet has approved a ₹3,706 crore semiconductor joint venture between HCL and Foxconn, with the manufacturing plant to be established in Jewar

India Takes Major Step Toward Semiconductor Self-Reliance as Cabinet Clears ₹3,706 Crore HCL-Foxconn JV in Jewar

In a significant boost to India's semiconductor ambitions, the Union Cabinet on Wednesday greenlit a ₹3,706 crore joint venture between HCL Group and Taiwan's Foxconn to establish a cutting-edge semiconductor assembly and testing facility in Jewar, Uttar Pradesh. The approval marks a crucial milestone in India's push to reduce its reliance on imported chips and position itself as a global electronics manufacturing powerhouse.  

The upcoming facility, strategically located near the Noida International Airport, is expected to create over 5,000 jobs while addressing the critical shortage of semiconductors that has plagued industries ranging from consumer electronics to automotive and defense. The move comes as part of Prime Minister Narendra Modi's vision to make India self-reliant in semiconductor production under the ambitious 'Make in India' initiative.  

Union IT Minister Ashwini Vaishnaw hailed the decision as transformative for India's technology ecosystem. "This partnership between an Indian tech leader and a global manufacturing giant represents exactly the kind of collaboration we need to build a robust semiconductor industry," Vaishnaw said. "It will not only meet domestic demand but also position India as an export hub for semiconductor products."  

Industry experts have welcomed the development as a potential game-changer. The Jewar location offers strategic advantages with its proximity to Delhi-NCR's industrial infrastructure and upcoming transport links, including the Yamuna Expressway and metro connectivity. For Foxconn, which already manufactures iPhones in India, this marks another significant investment as global companies increasingly look to diversify their supply chains beyond China.  

Construction of the facility is expected to begin within six months, with production likely to commence by 2027. The project aligns with India's ₹76,000 crore Semiconductor Mission, which aims to attract major global players to establish chip manufacturing capabilities in the country. As India takes these decisive steps toward technological self-sufficiency, the HCL-Foxconn venture could serve as a catalyst for further investments in the semiconductor space, potentially reshaping the country's position in the global electronics value chain.  

The approval comes at a crucial time when nations worldwide are racing to secure their semiconductor supply chains. With this move, India not only addresses a critical technological gap but also creates new opportunities for skilled employment and ancillary industries in the region. As the project moves forward, all eyes will be on Jewar to see how this ambitious venture transforms India's electronics manufacturing landscape in the years to come.