Vedanta and Foxconn have announced a joint venture to manufacture semiconductors and displays in Prime Minister Narendra Modi’s home state of Gujarat, a deal that will put India firmly in the high-stakes chip-making game.
Vedanta is an Indian oil and gas, metals and electric power conglomerate with interests in India and Africa. Foxconn, also called Hon Hai Precision, is Taiwan’s and the world’s largest electronics contract manufacturer, best known as the primary assembler of Apple iPhones.
Valued at about US$19.5 billion, the Gujarat project will include semiconductor manufacturing, assembly and test facilities, as well as a display factory. Vedanta will hold 60% of the venture and Foxconn 40%, with production scheduled to start in two years. About 100,000 people are expected to be employed when the project is up and running.