India approves Apple-supplier Foxconn's $433 million joint venture in bid to boost chip industry

Group 1 - Foxconn has received approval from the Indian government to establish a semiconductor plant in a joint venture with HCL Group, involving an investment of 37.06 billion rupees ($433 million) [1] - The plant, located in Uttar Pradesh, is expected to be operational by 2027 and will manufacture display driver chips for various consumer electronics [2][3] - The facility is designed to produce up to 20,000 wafers and 36 million display driver chips per month [2] Group 2 - The move is part of a broader trend where Apple suppliers, including Foxconn, are shifting production to India due to ongoing trade tensions between the U.S. and China [3] - Foxconn's previous attempt to establish a semiconductor plant in India through a joint venture with Vedanta was abandoned earlier in 2023 [4] - Analysts estimate that India could account for 15%-20% of total iPhone production by the end of 2025, with current assembly in India at 10%-15% [5] Group 3 - The U.S. Commerce Department is investigating semiconductor imports, which may lead to new tariffs, further incentivizing companies like Apple to move manufacturing to India [6] - India's "Semiconductor Mission" aims to create a robust semiconductor ecosystem, with the Foxconn joint venture being the sixth unit under this initiative [7]