India approves sixth semiconductor plant in UP

The Union Cabinet has approved India’s sixth semiconductor unit under the India Semiconductor Mission, to be set up in Jewar, Uttar Pradesh, through an HCL-Foxconn joint venture. With an investment of ₹3,706 crore, the plant will produce display driver chips for electronic devices and create 2,000 jobs.

The Union Cabinet has approved the establishment of India’s sixth semiconductor manufacturing unit under the India Semiconductor Mission, with production expected to begin in 2027. The upcoming facility will be set up in Jewar, Uttar Pradesh, through a joint venture between HCL Group and global electronics major Foxconn, involving an investment of approximately Rs 3,706 crore. HCL, known for its expertise in hardware manufacturing, and Foxconn will develop the plant near Jewar airport, within the Yamuna Expressway Industrial Development Authority (YEIDA).

“This will be first chip unit in Uttar Pradesh,” said Union Minister Ashwini Vaishnaw. The unit will focus on manufacturing display driver chips used in mobile phones, laptops, automobiles, PCs, and a wide range of other electronic devices. It is expected to create around 2,000 jobs. Designed for a monthly output of 20,000 wafers, the facility aims to produce up to 36 million units of chips every month.

Shortly after the announcement, Uttar Pradesh Chief Minister Yogi Adityanath tweeted: “Under the leadership of PM Modi, the Union Cabinet has approved the establishment of a semiconductor unit in Uttar Pradesh’s Yamuna Authority region (YEIDA) – a historic step towards ‘Atmanirbhar Bharat’. With an investment of Rs 3,700 crore, the unit will manufacture display driver chips for mobile phones, laptops, automobiles and various other devices. India is now moving towards global leadership in semiconductor manufacturing and UP is emerging as a hub for high-end electronics and semiconductor production.”

The move is part of India’s broader strategy to strengthen its semiconductor ecosystem, spanning design, fabrication, testing, packaging, and supply chains. Ashwini Vaishnaw emphasized the project’s significance in creating a pan-India semiconductor network that taps into domestic talent. “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 noted. One of these units is expected to be inaugurated later this year.