Cabinet Approves Sixth Semiconductor Unit in Uttar Pradesh

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Cabinet Approves Sixth Semiconductor Unit in Uttar Pradesh

Updated on May 16, 2025, 04:00 AM IST
Written by Blackridge Admin

The Union Cabinet, chaired by Prime Minister Shri Narendra Modi, has approved the establishment of a new semiconductor unit in Uttar Pradesh, marking a significant milestone in India's journey to develop its strategically vital semiconductor industry.

 

The unit, a joint venture between HCL and Foxconn, will be set up near Jewar airport in the Yamuna Expressway Industrial Development Authority (YEIDA) and will manufacture display driver chips for various devices.

 

This move is expected to attract an investment of Rs 3,700 crore and will further boost the country's efforts to become self-reliant in the semiconductor sector.

Sixth Semiconductor Unit Deatils

The new semiconductor unit will have a production capacity of 20,000 wafers per month, with a design output capacity of 36 million units per month. This will cater to the growing demand for semiconductors in the country, driven by the rapid growth of industries such as laptop, mobile phone, server, medical device, power electronics, defence equipment, and consumer electronics manufacturing.

 

The unit will also provide a boost to the government's vision of Atmanirbhar Bharat, which aims to make India self-reliant in critical technologies. The establishment of the new semiconductor unit is a testament to the consistent momentum gained by the India Semiconductor Mission. Already, five semiconductor units are in advanced stages of construction, and the addition of this sixth unit will further strengthen the country's position in the global semiconductor industry.

Semiconductor Industry Growth

The semiconductor industry is now shaping up across the country, with world-class design facilities coming up in many states. Students and entrepreneurs in 270 academic institutions and 70 startups are working on the latest design technologies to develop new products.

 

The ecosystem partners have also established their facilities in India, with Applied Materials and Lam Research, two of the largest equipment manufacturers, having a presence in the country. Other companies such as Merck, Linde, Air Liquide, Inox, and many other gas and chemical suppliers are also gearing up to support the growth of the semiconductor industry in India. This will provide a significant boost to the industry and help it achieve its full potential.


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