Monday, December 04, 2023
  1. You Are At:
  2. English News
  3. Business
  4. Foxconn withdraws from Rs 1.5 lakh crore semiconductor joint venture, Vedanta says other investors lined up

Foxconn withdraws from Rs 1.5 lakh crore semiconductor joint venture, Vedanta says other investors lined up

Foxconn, the technology giant and contract electronics manufacturing firm has withdrawn from semiconductor joint-venture project with Vedanta, PTI has reported.

Shashwat Bhandari Edited By: Shashwat Bhandari @ShashBhandari New Delhi Updated on: July 11, 2023 6:18 IST
Image Source : FILE PHOTO Representational image

Foxconn, the Taiwanese electronics manufacturing giant has withdrawn from semiconductor joint-venture project with Vedanta, the company said in a statement.

Foxconn said it is "working to remove the Foxconn name from what now is a fully-owned entity of Vedanta".

"Foxconn has no connection to the entity and efforts to keep its original name will cause confusion for future stakeholders," Hon Hai Technology group (Foxconn) said.

Foxconn, the global contract electronics maker, and Vedanta had inked an agreement last year to build semiconductor and display production plants in Gujarat entailing an investment of abour Rs 1.5 lakh crore.

In a statement on Monday Foxconn said, "In order to explore more diverse development opportunities, according to mutual agreement, Foxconn has determined it will not move forward on the joint venture with Vedanta."

The statement said that for over a year Hon Hai Technology Group (Foxconn) and Vedanta have worked hard to bring a great semiconductor idea to reality. It has been a fruitful experience that can position both companies strongly going forward.

"Foxconn is confident about the direction of India's semiconductor development. We will continue to strongly support the government's 'Make In India' ambitions and establish a diversity of local partnerships that meet the needs of stakeholders," it said.

Foxconn, Vedanta committed to India's semiconductor programme: Electronics minister 

Foxconn and mining behemoth Vedanta are committed to the semiconductor mission and the Make-in-India programme of the country, Union Minister of Electronics and IT Ashwini Vaishnaw said.

Making a statement on the development, Ashwini Vaishnaw said, "both the companies Foxconn and Vedanta are committed to India’s semiconductor mission and Make in India program."

After breakup with Foxconn, Vedanta says investors lined up  

Foxconn has withdrawn from a USD 19.5 billion (about Rs 1.5 lakh crore) semiconductor joint venture with mining baron Anil Agarwal's Vedanta Ltd as the venture struggled to get a technology partner to make chips that are used in mobile phones to refrigerators and cars.

Agarwal's metals-to-oil conglomerate responded, saying it was "fully committed to its semiconductor fab project and we have lined up other partners to set up India's first foundry." It however did not give details of the new partners.

The JV had announced to set up of India's first electronic chip manufacturing unit in Gujarat with an investment of around Rs 1.5 lakh crore.

(With inputs from PTI)

ALSO READ | Finance Ministry asks IBA to finalise wage revision of bankers of PSU banks by Dec 1

Latest Business News

Read all Assembly Election Results 2023 Live on and Get the Latest English News and Updates on Madhya Pradesh, Chhattisgarh, Mizoram, Rajasthan and Telangana