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?

  1. CG Power and Industrial Solutions Pvt. Ltd. in partnership with Renesas Electronics and STARS Microelectronics : Gujarat
  2. Tata Semiconductor Assembly and Test Pvt. Ltd. : Assam
  3. HCL-Foxconn Joint Venture India Chip Ltd. : Madhya Pradesh
  4. 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.

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