The union cabinet has approved the setting up of India’s sixth semiconductor unit in Noida, marking a significant development for Uttar Pradesh. Noida, which is already recognized as a major IT hub and mobile manufacturing centre, is now poised to become a key player in advanced semiconductor production. This move is expected to strengthen the region’s position in the country’s technology and manufacturing sectors.

HCL Group, a leading IT company with a large software centre in Noida, is joining hands with global electronics giant Foxconn to establish a semiconductor manufacturing unit near Jewar, in the Yamuna Expressway Industrial Development Area. The project will see an investment of Rs 3,700 crore. With the upcoming Jewar International Airport set to open later this year and excellent connectivity along with modern infrastructure already in place, the area is becoming a preferred destination for top professionals and companies.

Noida is home to major IT and mobile firms such as Samsung, Microsoft, Accenture, SAP, Cadence, and more. The new semiconductor plant is expected to create 2,000 skilled jobs and will produce 20,000 wafers per month, with a design capacity of 36 million units monthly, further strengthening Noida’s position as a technology hub.

Union Minister Ashwini Vaishnaw said the semiconductor unit near Jewar will start production by 2027. So far, the Modi government has approved five such units across India, with the first one starting in 2025. The Jewar unit, chosen by HCL Group, will be the sixth.

The plant will make display driver chips used in phones, laptops, cars, and other devices. Uttar Pradesh Chief Minister Yogi Adityanath thanked Prime Minister Narendra Modi on social media for approving the project, saying it will help achieve the goal of Atmanirbhar Bharat (self-reliant India).

Just yesterday, Renesas, Japan’s top electronics and semiconductor company, announced the launch of its advanced 3-nanometre chip design centres in Noida and Bengaluru. These will be India’s first centres working on the latest 3-nanometre chip technology, placing Noida on the global semiconductor map. A state government official also said that the HCL-Foxconn unit will receive subsidies on land price, stamp duty, and electricity according to government policy.