Foxconn withdrawal from Vedanta joint venture has no impact on India's semiconductor goals: MoS IT

New Delhi: Taiwanese electronics manufacturer Foxconn's decision to pull out of Vedanta joint venture has no impact on India's semiconductor fabrication plant goal, minister of state for electronics and IT Rajeev Chandrasekhar said on Monday.

Foxconn has decided to pull out of the semiconductor joint venture with Indian conglomerate Vedanta.

"This decision of Foxconn to withdraw from its JV wth Vedanta has no impact on India's Semiconductor Fab goals. None," Chandrasekhar tweeted.

Vedanta Foxconn JV had announced the setting up of India's first electronic chip manufacturing unit in Gujarat with an investment of around USD 1.5 lakh crore.

"Its not for govt to get into why or how two private companies choose to partner or choose not to, but in simple terms it means both companies can & will now pursue their strategies in India independently, and wth appropriate technology partners in Semicon n Electronics," Chandrasekhar tweeted.

The minister said that both Foxconn and Vedanta have significant investments in India and are valued investors who are creating jobs and growth.

"It was well known that both companies had no prior semicon experience or Technology and were expected to source Fab tech from a Tech partner. While their JV VFSL had originally submitted a proposal for 28nm fab, they could not source appropriate Tech partner for that proposal," the minister said.

He said that Vedanta through JV VFSL has recently submitted a 40 nm fab proposal backed by a technology licensing agreement from a Global Semicon major - which is currently being evaluated by government's Semicon India Tech Advisory group.