PM Modi lays foundation of Rs 3,700-crore India Chip Plant in Jewar, hails it as major boost to tech self-reliance

‎Prime Minister Narendra Modi on Saturday laid the foundation stone for a Rs 3,700-crore semiconductor plant in Jewar, describing it as a “decisive push toward technological self-reliance” and a major step in strengthening India’s position in the global chip value chain.

Participating virtually in the groundbreaking ceremony of the HCL-Foxconn joint venture project, India Chip Pvt. Ltd., at the Yamuna Expressway Industrial Development Authority (YEIDA), the Prime Minister said the facility marked a milestone in India’s semiconductor ambitions. ‎“The establishment of the HCL-Foxconn semiconductor facility in Uttar Pradesh is a step towards technological self-reliance. It will boost India’s presence in the global chip ecosystem,” he added.

Advertisement

The plant, being set up by HCL Group in partnership with Taiwan-based Foxconn, will function as an Outsourced Semiconductor Assembly and Test (OSAT) facility under the government’s Modified Scheme for Semiconductor Assembly, Testing, Marking and Packaging (ATMP). Strategically located in the YEIDA region near the upcoming Noida International Airport, the unit is expected to significantly reduce India’s dependence on imported semiconductor components while strengthening domestic electronics manufacturing.

Advertisement

<!– –>

‎Framing the project as part of a broader national transformation, Modi said India has “no time to pause” as it moves rapidly toward becoming a developed nation.

‎“This decade is India’s ‘Techade’. What India is doing in technology today will form the foundation of our strength in the 21st century,” he said.

‎Listing recent milestones — from the Viksit Bharat Young Leaders Dialogue and National Startup Day to the India Energy Summit and the Global AI Impact Summit — the Prime Minister said the Jewar semiconductor facility followed a week in which the world had witnessed India’s growing capabilities in artificial intelligence and digital innovation.

‎“India is working simultaneously on both software and hardware aspects. It is a matter of pride that Uttar Pradesh is also going to become a major centre of India’s semiconductor ecosystem,” he added.

‎Highlighting the geopolitical and economic significance of semiconductors, Modi drew a comparison between oil in the 20th century and chips in the 21st. “In the 20th century, nations that had oil possessed prosperity and power. In the 21st century, that power lies in a small chip,” he said.

‎Recalling the global supply chain disruptions during the COVID-19 pandemic, he noted how chip shortages had stalled factories and strained economies worldwide. “India learned from that crisis and turned it into an opportunity. We resolved to become self-reliant in chip manufacturing and to build a semiconductor ecosystem in the country,” he said.

‎The Jewar OSAT facility is expected to cater to sectors including mobile phones, laptops, tablets, automotive electronics, consumer devices and industrial equipment. Industry experts point out that assembly, testing and packaging are critical segments of the semiconductor value chain, enabling chips fabricated elsewhere to be integrated into end-use products.

‎The project is projected to generate thousands of direct and indirect jobs for engineers, technicians and skilled professionals, while catalysing ancillary industries in and around Jewar and the Yamuna Expressway belt.

“Wherever a semiconductor unit is established, design houses come up, R&D centres are set up, and startup ecosystems develop. All of this is now going to happen in Uttar Pradesh,” Modi said.

‎He congratulated Uttar Pradesh Chief Minister Yogi Adityanath and his team, saying the state was emerging as a “technology powerhouse” and a key pillar of India’s manufacturing success.

‎According to the Prime Minister, more than half of India’s mobile phones are currently manufactured in Uttar Pradesh, and the addition of semiconductor and component manufacturing will deepen the state’s industrial base.

‎He noted that under the India Semiconductor Mission, 10 semiconductor fabrication and packaging projects have already been approved, with four units expected to begin production soon. He also highlighted the government’s “Chip to Startup” programme aimed at preparing over 85,000 industry-ready professionals in semiconductor design.

‎In the latest Union Budget, the second phase of the India Semiconductor Mission was announced, alongside plans to create Rare Earth Corridors to secure critical minerals essential for semiconductor and battery manufacturing.

‎“A developed India will be built only when India becomes self-reliant. For that, Made-in-India chips are essential,” Modi asserted. “Digital India, AI, 5G–6G, electric vehicles, defence—semiconductors are the soul of every essential product today.”

‎Calling India a trusted partner in global supply chains, Modi said the participation of global giants like Foxconn sent a strong message.

‎“A democratic country like India is a reliable partner for the world. India’s growing participation in any value chain enhances that value chain’s resilience,” he said, adding, “Today, the world is looking at India as the centre of the tech future.”

‎The Prime Minister also pointed to Uttar Pradesh’s transformation over the past decade — from being associated with migration and underdevelopment to becoming known for expressways, the Defence Corridor and major infrastructure projects. He cited improved connectivity through the Dedicated Freight Corridor and the upcoming Jewar airport, as well as the inauguration of the Delhi–Meerut Namo Bharat corridor, as factors boosting investor confidence.

With the Jewar facility, Uttar Pradesh formally joins India’s emerging semiconductor map, reinforcing the Centre’s broader vision of building a resilient, self-reliant electronics ecosystem as part of its goal of a developed India.

Advertisement