Vedanta Group and Hon Hai Technology Group (Foxconn) recently announced the signing of a memorandum of understanding (MoU) to form a joint venture company that will manufacture semiconductors in India.
As per the MoU signed between the two companies, Vedanta will hold the majority stake in the JV while Foxconn will have a minority stake. Vedanta Chairman Anil Agarwal will be the Chairman of the JV company.
The JV company will be applying for the government’s production linked incentive (PLI) Scheme for semiconductor manufacturing in India.
The companies are yet to finalise a location to set up the first fab. “The targeted project plans to invest for manufacturing semiconductors. It will provide a significant boost to the domestic manufacturing of electronics in India. Discussions are currently ongoing with a few State Governments to finalise the location of the plant,” the company added.
Hebbar has been in talks with several state governments to set up a factory including Haryana, Gujarat, Maharashtra, Telangana, Tamil Nadu, and Karnataka.