“The company will continue to be there, just that it will find other partners,” the person said.
Taiwan, primarily through the Taiwan Semiconductor Manufacturing Company (TSMC), and South Korea, with Samsung, are the dominant players in the global semiconductor manufacturing industry, responsible for producing the majority of the world’s top chips.
In an effort to enter the semiconductor race, India approved a $10 billion incentive scheme in late 2021. The scheme aims to kickstart India’s domestic semiconductor industry by providing coverage for up to 50% of project costs, thus encouraging the development of a robust semiconductor manufacturing ecosystem within the country.
Foxconn, best known for assembling iPhones and other Apple products, and Vedanta had last year signed a pact to set up semiconductor and display production plants in Gujarat.
According to Foxconn, the decision to withdraw from the semiconductor joint venture with Vedanta was based on mutual recognition that the project was not progressing at the desired pace, and there were challenging obstacles that could not be smoothly overcome. However, Foxconn emphasized that this development should not be seen as negative.
