Foxconn Commits Additional $1.5 Billion Investment to Expand Operations in India

New Delhi – Taiwanese tech giant Foxconn has announced a fresh investment of $1.5 billion to expand its footprint in India, as the Apple supplier continues to diversify its supply chain away from China.

The investment comes through Foxconn’s Singapore-based subsidiary, which has infused $1.5 billion into its Indian arm by acquiring 12.7 billion shares. Foxconn's Indian unit, Yuzhan Technology India, currently manufactures smartphone components in the state of Tamil Nadu.

This major investment follows the Indian government’s recent approval for Foxconn to establish a semiconductor fabrication facility near the upcoming Noida airport. The new plant is part of a ?3,700 crore (approximately $445 million) joint venture with HCL Group.

The facility will produce display driver chips used in smartphones, laptops, automobiles, personal computers, and a range of display-based devices. It is designed to process 20,000 wafers per month and will have an output capacity of up to 36 million units monthly.

“Already, five semiconductor units are in advanced stages of construction. With this sixth unit, India takes another step forward in building a strategically important semiconductor ecosystem,” said an official statement.

India’s semiconductor sector is witnessing rapid development. Advanced design infrastructure is being rolled out across various states, with local governments actively supporting the establishment of design and manufacturing facilities.

At the grassroots level, the government reported that over 270 academic institutions and 70 startups are engaged in semiconductor research and development. Among them, 20 student-developed chip designs have already reached the tape-out stage at the SCL (Semiconductor Laboratory) in Mohali.

To support this momentum, the broader ecosystem is also expanding. Leading global semiconductor equipment manufacturers, including Applied Materials and Lam Research, have begun operations in India. Meanwhile, key chemical and gas suppliers such as Merck, Linde, Air Liquide, and Inox are scaling up to meet anticipated industry demand.

As the global and domestic demand for semiconductors rises—driven by booming sectors such as smartphones, laptops, data servers, medical devices, defense systems, and consumer electronics—Foxconn’s latest investment is seen as a critical contribution to Prime Minister Narendra Modi’s ‘Atmanirbhar Bharat’ (Self-Reliant India) initiative.

With inputs from IANS