Gujarat govt reportedly in talks with Foxconn for a semiconductor plant

According to reports, the Gujarat government is engaging in discussions with Foxconn, shortly after withdrawing from a partnership with Vedanta that aimed to establish a semiconductor plant in India. These talks emerged a few weeks after Micron Technology announced its plans to invest a substantial amount of up to $825 million in a semiconductor testing; packaging facility located in Gujarat.

Vijay Nehra, Secretary of the Science and Technology Department, Gujarat said “We are in contact with multiple prospective investors, including Foxconn as the state is uniquely positioned to attract top chipmakers.” 

Meanwhile, Foxconn has not yet confirmed the matter.  

Commenting on the Foxconn- Vedanta breakup, Minister of State for Electronics and IT Rajeev Chandrasekhar said that Foxconn backed out from Vedanta’s joint venture. It will have no impact on India's semiconductor plans as both companies are new players in the sector. They have no prior semiconductor experience or technology. 

The dissolution of the joint venture dealt a blow to Modi's ambition of positioning India as a prominent semiconductor manufacturing center. Nevertheless, Foxconn subsequently expressed its intention to independently seek chip incentives in India and explore potential new partnerships.