India Accelerates Semiconductor Growth: Sixth Unit Approved in Uttar Pradesh

New Delhi, 14 May 2025: India’s growth in semiconductor industry is noticeable as as the Union Cabinet, chaired by Prime Minister Narendra Modi, approved the establishment of a sixth semiconductor unit under the India Semiconductor Mission.

The newly sanctioned facility is a joint venture between tech giants HCL and Foxconn. This new facility will be built near Jewar Airport within the Yamuna Expressway Industrial Development Authority (YEIDA) region.

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With five semiconductor plants already in advanced construction stages, this latest addition marks a important step in developing India’s semiconductor ecosystem. The factory will primarily manufracture display driver chips, a very essential component for any screen device like mobile phones, laptops, automobiles, PCs.

Designed for an impressive production capacity of 20,000 wafers per month, the facility will have the capability to manufacture 36 million units monthly. This venture is expected to attract a substantial investment of Rs 3,700 crore, with this India will gain position as a growing hub for semiconductor manufacturing.

As the country moves forward in semiconductor journey, the eco system partners have also established their facilities in India.  Applied Materials and Lam Research are two of the largest equipment manufacturers.  Both have a presence in India now.  Merck, Linde, Air Liquide, Inox, and many other gas and chemical suppliers are gearing up for growth of our semiconductor industry.

As domestic manufacturing of laptops, smartphones, servers, medical devices, power electronics, defense equipment, and consumer electronics continues to surge, this latest semiconductor facility aligns with the government’s vision for Atmanirbhar Bharat—a self-reliant India.

Source: Press Information Bureau (PIB), Government of India

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Rajdeep Das

Rajdeep is the founding member of Web2Fast. He shares insights on businesses.