UPSC Prelims 2026 Q83: Semiconductor Plants in India — Explained
Which one of the following pairs of semiconductor plants in India and their locations is not correctly matched?
- CG Power and Industrial Solutions Pvt. Ltd. in partnership with Renesas Electronics and STARS Microelectronics : Gujarat
- Tata Semiconductor Assembly and Test Pvt. Ltd. : Assam
- HCL-Foxconn Joint Venture India Chip Ltd. : Madhya Pradesh
- SicSem Pvt. Ltd. : Odisha
Answer: (c) HCL-Foxconn Joint Venture India Chip Ltd. : Madhya Pradesh
Statement-wise explanation
- a: incorrect — This pair is correctly matched, so it is not the answer. The Union Cabinet approved CG Power's unit in February 2024. It is being built with Renesas Electronics (Japan) and Stars Microelectronics (Thailand) at Sanand, Gujarat, with an investment of ₹7,600 crore. CG Semi's assembly-and-test (OSAT) unit at Sanand began commercial production in 2026.
- b: incorrect — This pair is correctly matched, so it is not the answer. Tata Semiconductor Assembly and Test Pvt. Ltd. (TSAT) is setting up its unit at Jagiroad in Morigaon district, Assam. The Cabinet approved it in February 2024 with an investment of ₹27,000 crore and a planned capacity of 48 million chips per day.
- c: correct — This is the wrongly matched pair, so it is the answer. The HCL-Foxconn joint venture's plant is near Jewar airport, in the Yamuna Expressway Industrial Development Authority (YEIDA) area of Uttar Pradesh, not Madhya Pradesh. The Cabinet approved it in May 2025 with an investment of about ₹3,700 crore, and it will make display driver chips. The groundbreaking in February 2026 branded the unit 'India Chip Limited'.
- d: incorrect — This pair is correctly matched, so it is not the answer. SiCSem Pvt. Ltd. is working with Clas-SiC Wafer Fab Ltd. (UK) on a silicon carbide compound-semiconductor fab at Info Valley, Bhubaneswar, Odisha. The Cabinet approved it in August 2025 with an investment of ₹2,066 crore. It will be India's first commercial compound fab.
How to eliminate
You can only solve this question by knowing where each plant is. No absolute words or option patterns help. Two bits of background narrow it down. First, Gujarat (Sanand and Dholera) is India's main semiconductor cluster, so a Gujarat entry is very likely correct. Second, Tata's Assam (Jagiroad) plant was widely reported in 2024. That leaves the HCL-Foxconn and SiCSem pairs. HCL is based in Noida, and the joint venture's plant is near the new Noida International Airport at Jewar, in Uttar Pradesh. No India Semiconductor Mission unit has been approved in Madhya Pradesh. Fact to remember: HCL-Foxconn → Jewar (YEIDA), Uttar Pradesh; SiCSem → Bhubaneswar, Odisha.
Know more
India Semiconductor Mission (ISM) is run by MeitY. The Union Cabinet approved it in December 2021 with a ₹76,000 crore incentive package. Under this programme, the Centre funds part of the project cost of chip fabs, display fabs and assembly-and-test units. ISM 2.0 was announced in Budget 2026-27.
There are three types of plant:
- Fab: makes chips on silicon wafers. This is the most capital-heavy step.
- Compound semiconductor fab: uses materials such as silicon carbide (SiC) or gallium nitride. These chips go into power electronics, EVs and defence.
- OSAT / ATMP: assembles, tests, marks and packages finished chips.
Major approved units
| Company (partner) | Location | Type | Cabinet approval |
|---|---|---|---|
| Micron Technology | Sanand, Gujarat | ATMP | 2023 |
| Tata Electronics (PSMC, Taiwan) | Dholera, Gujarat | Fab (₹91,000 cr) | Feb 2024 |
| Tata Semiconductor Assembly & Test | Jagiroad, Morigaon, Assam | OSAT (₹27,000 cr) | Feb 2024 |
| CG Power (Renesas, Stars) | Sanand, Gujarat | OSAT (₹7,600 cr) | Feb 2024 |
| Kaynes Semicon | Sanand, Gujarat | OSAT (₹3,307 cr) | Sep 2024 |
| HCL-Foxconn JV | Jewar (YEIDA), Uttar Pradesh | Display driver chips (~₹3,700 cr) | May 2025 |
| SiCSem (Clas-SiC, UK) | Bhubaneswar, Odisha | SiC compound fab (₹2,066 cr) | Aug 2025 |
| 3D Glass Solutions | Odisha | Advanced packaging | Aug 2025 |
| Continental Device India (CDIL) | Punjab | Discrete devices | Aug 2025 |
| ASIP Technologies | Andhra Pradesh | OSAT | Aug 2025 |
By the August 2025 approvals, there were 10 projects worth about ₹1.60 lakh crore across six states. Gujarat has the most units. Plants have also gone to Assam, Uttar Pradesh, Odisha, Punjab and Andhra Pradesh.
In the news
In February 2026 the Prime Minister took part in the groundbreaking of the HCL-Foxconn unit in Uttar Pradesh, branded 'India Chip Limited'. Budget 2026-27 also launched ISM 2.0. Both events put the locations of approved chip plants in the news just before Prelims 2026.
NCERT Concepts to Revise
- India Semiconductor Mission: All four plants in the question were approved and funded under the India Semiconductor Mission's Semicon India Programme.
Read more
- Prime Minister Shri Narendra Modi participates in the groundbreaking ceremony of HCL-Foxconn Semiconductor Unit in Uttar Pradesh via Video Conferencing
- Information technology, electronics and semiconductors
- "India Has Entered a New Era in Semiconductors" Says Union Minister Ashwini Vaishnaw as CG SEMI's OSAT Facility Begins Commercial Production in Sanand
- Government Notifies India’s First Chip Fabrication Plant at SEZ Dholera
- India Semiconductor Mission 2.0
- PIB: Semicon India Programme Advances with Approval of 10 Projects; IT Sector Revenue Rises to USD 283 Billion
- PIB: Giant leap for India Semiconductor Mission: Cabinet approves three more semiconductor units
- PIB: Cabinet approves semiconductor unit in Uttar Pradesh
- PIB: Cabinet approves semiconductor manufacturing units in ODISHA, PUNJAB and ANDHRA PRADESH with an outlay of Rs.4600 crore