Sixth Semiconductor Unit in Uttar Pradesh

Current Context: The Union Cabinet has approved India’s sixth semiconductor fabrication plant near Jewar Airport in Uttar Pradesh, to be established through a joint venture between Hindustan Computers Limited and Foxconn.

About the Semiconductor Unit:

• Location: Yamuna Expressway Industrial Development Authority region, near Jewar Airport, Uttar Pradesh.
• Partners: Hindustan Computers Limited (subsidiary of HCL Technologies) and Foxconn (Taiwanese electronics manufacturer).
• Product Focus: Display driver chips used in mobile phones, laptop screens, automotive displays, and other electronic devices.

India’s Semiconductor Ecosystem:

• Market Growth: Projected to expand from twenty-two billion dollars in 2019 to one hundred ten billion dollars by 2030, representing ten percent of global consumption.
• Local Content: In 2021, only nine percent of semiconductor components were sourced domestically; target is to reach seventeen percent by 2026.
• Design Capability: India has twenty percent of the world’s semiconductor design engineers and produces around three thousand integrated circuits annually.
• Process Technology: Cutting-edge nodes (seven, five, three, two nanometres) enable higher transistor density, lower power use, and faster processing speeds.