Vedanta, Foxconn to establish a JV for manufacturing semiconductors in India
India's leading MNC Vedanta and global electronics giant Foxconn (Hon Hai Technology Group of Taiwan) have signed an MOU recently to form a joint venture company that will manufacture semiconductors in India.
As per the MOU, Vedanta will hold the majority of the equity in the JV, while Foxconn will be the minority shareholder. Vedanta chairman Anil Agarwal has been announced as the chairman of the joint venture company.
This first-of-its-kind joint venture between the two companies will support Indian Prime Minister Narendra Modi's vision to create an ecosystem for semiconductor manufacturing in India, claims the partnering companies. The companies are currently in talks with few state governments to finalize the location of the plant.
The collaboration between Vedanta and Foxconn follows the union government's recent policy announcement for electronics manufacturing and PLI scheme for incentivizing organizations to contribute towards the development of this sector.
Vedanta Group in India has diversified its presence in metals, mining, oil and gas, power, telecom and glass industries. It also has presence in electronics and technology business through group companies - Avanstrate Inc. and Sterlite Technologies.
