Global technology giant Foxconn has expressed its intention to establish four to five semiconductor fabrication lines in India, the Economic Times reported on Tuesday.
Foxconn has informed the ministry of electronics and information technology about two memoranda of understanding (MoUs) it has signed with technology partners, a senior government official told the ET.
The official expressed optimism that Foxconn, being familiar with the procedures, should be able to submit the final application and make an official announcement within the next 45-60 days.
While one production line is expected to be set up in Gujarat, Foxconn may also consider other potential locations, the ET report said.
On Tuesday, Foxconn announced its intention to seek incentives under India's semiconductor manufacturing plan. This decision comes just a day after the termination of its $19.5 billion chipmaking joint venture with Vedanta.
The withdrawal from the joint venture with Indian conglomerate Vedanta was explained by Foxconn as a mutual recognition that the project was not progressing at the desired pace. Foxconn cited "challenging gaps" that could not be easily overcome but emphasized that the decision was not negative.
Foxconn is currently engaged in talks with various local and international partners to establish semiconductor manufacturing facilities in India. The focus would be on utilizing mature chip manufacturing technology for products such as electric vehicles (EVs). The identities of the potential partners remain confidential.
Despite the termination of the joint venture, Foxconn reassured that it will continue to operate in India and seek alternative partnerships.
The Indian semiconductor market is expected to reach a value of $63 billion by 2026, providing significant growth opportunities.