New Delhi: Prime Minister Narendra Modi will participate in the groundbreaking ceremony of the HCL–Foxconn semiconductor joint venture project in Uttar Pradesh on February 21, marking a significant step in India’s push towards becoming a global semiconductor manufacturing hub.
The semiconductor facility, to be developed by India Chip Pvt. Ltd., a joint venture between HCL and Foxconn, is seen as a milestone in India’s journey towards technological self-reliance and high-end electronics manufacturing.
Major Investment Under Semiconductor Scheme
The project will be set up under the Modified Scheme for Semiconductor Assembly, Testing, Marking and Packaging (ATMP). With an investment exceeding ₹3,700 crore, the facility will function as an Outsourced Semiconductor Assembly and Test (OSAT) unit.
The initiative aligns with the Government of India’s broader semiconductor mission aimed at strengthening domestic manufacturing capabilities and reducing dependence on imports.
Boost to Electronics and Automotive Sectors
The upcoming OSAT facility is expected to cater to critical sectors including mobile phones, tablets, laptops, automotive electronics, consumer devices and other digital equipment. By enabling advanced semiconductor assembly and testing within India, the plant will support both domestic demand and export potential.
Industry experts believe that the establishment of such facilities is essential for integrating India into resilient global supply chains. As geopolitical uncertainties reshape chip production worldwide, India’s semiconductor initiatives aim to position the country as a trusted and stable manufacturing destination.
Employment and Ancillary Growth
The HCL–Foxconn joint venture is expected to generate thousands of direct and indirect employment opportunities. Engineers, technicians and skilled professionals will benefit from new roles in semiconductor assembly, testing and related technology services.
Beyond direct employment, the facility is likely to catalyse growth in ancillary industries such as component suppliers, packaging units, logistics services and specialised technology providers. This ecosystem development is crucial for sustaining long-term semiconductor manufacturing in India.
Strengthening India’s Global Semiconductor Standing
The project underscores India’s growing stature in the global semiconductor landscape. It reflects the government’s strategic focus on building a self-reliant electronics manufacturing ecosystem capable of meeting future technological demands.
By encouraging collaborations between leading domestic and international companies, India aims to accelerate innovation, facilitate technology transfer and develop advanced skill sets within the country.
The groundbreaking ceremony on February 21 is expected to signal renewed momentum in India’s semiconductor ambitions, reinforcing its vision of becoming a key player in the global high-end manufacturing sector.
