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Foxconn’s potential entry stands poised with the nation’s ambitious semiconductor and display manufacturing ecosystem. The synergy comes with the government’s Modified Programme for Development of Semiconductors and Display Manufacturing taking centre-stage, as indicated in the 52nd Report by the Standing Committee on Communications and Information Technology.
The Modified Programme for Development of Semiconductors and Display Manufacturing mentioned in the report seeks to elevate India’s status as a global electronic system design and manufacturing hub, aligning with the principles of Aatmanirbhar Bharat. This report notably acknowledged proposals under consideration for setting up a semiconductor fab and a semiconductor packing facility, signalling a pivotal phase in India’s semiconductor aspirations.
Responding to parliamentary queries, Rajeev Chandrasekhar, MoS for Electronics and Information Technology, confirmed that Foxconn has submitted its application under the Modified Scheme for setting up of Semiconductor Fabs in India.
Import and Self-Reliance
During the parliamentary discussions, Union minister of Electronics and IT Ashwini Vaishnaw stressed that the Semicon India programme, backed by an outlay of Rs 76,000 crore, encompasses various schemes aimed at bolstering semiconductor and display manufacturing ecosystems in the country.
Meanwhile, in response to parliamentary inquiries, minister Chandrasekhar acknowledged country’s reliance on semiconductor chip imports. He, however, highlighted the multifaceted approach undertaken by the government to address this concern, stressing the need for India to bolster its domestic semiconductor manufacturing capabilities. The minister reiterated the significance of initiatives such as the Production Linked Incentive (PLI) schemes, which aim to reduce the dependency on chip imports, along with the Semicon India.
Chandrasekhar also stated: “Construction on the first semiconductor unit under the Semicon India programme has commenced in Sanand, Gujarat. A prominent semiconductor company has started its largest semiconductor design centre in Bengaluru. Another prominent semiconductor company has collaborated with the Indian Institute of Science to train a large pool of engineers conversant in semiconductor technologies”.
It should be noted that the US chip-making company Micron Technology’s over $2 billion ATMP plant is currently under construction in Gujarat. Secondly, AMD, a US-based semiconductor design major, has opened its biggest worldwide design unit in Bengaluru. The campus is known as AMD Technostar. Additionally, Lam Research and the Indian Institute of Science have decided to start an initiative to train semiconductor engineers.
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