Latest news with #Jewar
Entrepreneur
22-05-2025
- Business
- Entrepreneur
What Does Foxconn Investment In India Means
You're reading Entrepreneur India, an international franchise of Entrepreneur Media. Close to the heels of the Union Cabinet approving an HCL-Foxconn semiconductor joint venture (JV), which will set up an outsourced semiconductor assembly and test (OSAT) facility, at an estimated cost of INR 3,706 crore at Jewar in Uttar Pradesh, there is another major development. Foxconn, a primary partner of Apple in manufacturing iPhones and other gadgets, has announced the investment of INR 12,800 crore in India. This was declared in a Taiwan Stock Exchange filing. Foxconn's Singapore based subsidiary will be injecting these funds into the Indian company, Yuzhan Technology (India) Private Limited, a Tamil Nadu unit of Foxconn. Foxconn is an integral part of Apple's end to end value chain and the investments come close to Apple's announcement in India — where CEO Tim Cook confirmed that the majority of iPhones sold in the US in the June quarter would be sourced from India — while China would continue to cater to most other markets. Currently, around 16-17 percent of Apple's global iPhone production comes from India. This shows India as a promising market for China + 1 strategy. Currently, the majority of iPhones are manufactured in China and Apple is looking to diversify its supply chain. Moreover, the JV would be making display driver chips, key components of mobile phones, especially iPhones, and automobiles. "With an investment of INR 3,700 crore, the project brings large-scale advanced packaging and testing capabilities specifically for display driver ICs—addressing a critical gap in India's display and electronics value chain. This isn't just about building infrastructure—it reflects India's growing maturity in semiconductor manufacturing, with trusted partners, strategic intent, and industrial scale," said Ashok Chandak, President, IESA and SEMI India. Union minister Ashwini Vaishnaw has expressed optimism, stating that India hopes this partnership will eventually lead to Apple processors being made domestically. A report from the Financial Times revealed that Apple plans to relocate all assembly of iPhones destined for the US market from China to India by the end of 2026. This move is part of Apple's response to escalating trade tensions and tariff pressures under US President Donald Trump's administration. However, India's ambition to become an iPhone manufacturing hub is in the ire of the US President. Speaking at a business event in Doha, Trump mentioned he told Apple CEO Tim Cook to stop producing iPhones in India. "My friend, I treated you very good…but now I hear you're building all over India…I don't want you building in India," the US President told Cook. Nevertheless, Cook has assured the Indian government that their India strategy remains unaffected. Since the COVID-19 pandemic and geopolitical tensions, many global manufacturers reevaluated their supply chains to mitigate risk. India is believed to have emerged as a key destination for manufacturing due to its market potential, flexible workforce, and increasing income levels. But this isn't enough. In order to meet its electronics ambition, the key challenges that India needs to focus on are infrastructure, a developed component supplier ecosystem, and a massive skilled workforce to cater to this developing ecosystem. Recently, the government announced the Electronics Component Manufacturing Scheme (ECMS), aimed at strengthening India's electronics manufacturing ecosystem.
Entrepreneur
15-05-2025
- Business
- Entrepreneur
Centre Clears INR 3,706 Crore Semiconductor Plant in UP, HCL-Foxconn JV Gets the Nod
Ashwini Vaishnaw emphasized the importance of the new unit. He said the facility would be capable of handling 20,000 wafers per month, translating to an output capacity of 36 million chips per month You're reading Entrepreneur India, an international franchise of Entrepreneur Media. In a major push toward building a self-reliant semiconductor ecosystem, the Union Cabinet, chaired by Prime Minister Narendra Modi, has approved a INR 3,706 crore semiconductor manufacturing plant to be set up in Jewar, Uttar Pradesh. The project, a joint venture between Indian tech pioneer HCL and global electronics giant Foxconn, will be established near the upcoming Jewar airport under the Yamuna Expressway Industrial Development Authority (YEIDA). This sixth unit, sanctioned under the India Semiconductor Mission, marks another milestone in the country's efforts to strengthen its position in the strategically vital semiconductor industry. According to the official release from PIB, five other semiconductor units are already in advanced stages of construction. The latest plant will focus on manufacturing display driver chips, essential components in mobile phones, laptops, automobiles, PCs, and a wide range of other digital devices. Information and Broadcasting Minister Ashwini Vaishnaw, speaking on the development, emphasized the importance of the new unit. He said the facility would be capable of handling 20,000 wafers per month, translating to an output capacity of 36 million chips per month. "This will help meet the rising demand in sectors like smartphones, automotive electronics, and consumer devices," he noted. The joint venture brings together two powerful players: HCL, which has decades of experience in hardware manufacturing, and Foxconn, known worldwide for its electronics production capabilities. Their combined expertise is expected to significantly bolster India's domestic chip manufacturing capacity. Prime Minister Narendra Modi hailed the cabinet decision on X, saying, "India's strides in the world of semiconductors continue! Today's Cabinet decision regarding the establishment of a semiconductor unit in Uttar Pradesh will boost growth and innovation. It will create innumerable opportunities for the youth as well." The move comes at a time when India's ecosystem is maturing; Applied Materials and Lam Research, two of the world's leading semiconductor equipment manufacturers, now operate in the country. Key chemical and gas suppliers such as Merck, Linde, Air Liquide, and Inox are also scaling up their presence to support this growing industry. Beyond infrastructure, India is nurturing a new generation of semiconductor talent. As per PIB, students and entrepreneurs across 270 academic institutions and 70 startups are actively working on cutting-edge chip design technologies. Twenty products developed by these students have already been taped out at SCL Mohali, showcasing the potential of India's emerging chip design community.
