Vedanta Group announced on Tuesday that it is planning joint ventures with Japanese tech firms. This is in keeping with its intention to establish a semiconductor factory in Gujarat.
During a roadshow for the Vibrant Gujarat Global Summit in Japan, Akarsh K. Hebbar, the Global Managing Director of Vedanta’s Semiconductor and Display busines, stated that companies wanting to invest in Gujarat's electronics manufacturing cluster have an investment opportunity of $80 billion.
“There is an $80-billion opportunity for companies willing to come and invest in this electronics manufacturing hub, and Vedanta will be the anchor for Japanese companies interested in investing in India,” Hebbar said.
“He (Hebbar) outlined Vedanta's ambitious plans to establish semiconductor and display fabs in Dholera SIR, Gujarat, and invited Japanese companies to partner with Vedanta in helping build the country's first electronics manufacturing hub in the state," Vedanta said in a statement.
Hebbar continued that the electronics manufacturing hub has the capacity to draw hundreds of small and medium-sized enterprises (SMEs) and will create over a lakh jobs.
Japan is home to AvanStrate Inc., a Vedanta group company. Vedanta entered into agreements with thirty Japanese tech firms in 2022 to support the growth of the Indian semiconductor and glass display manufacturing sector.
Japan is one of the top five nations with a semiconductor ecosystem, home to about 100 semiconductor manufacturing facilities.
Prior to this, Vedanta had established a joint venture with Foxconn, the massive Taiwanese electronics manufacturer, which had declared intentions to invest $19.5 billion in the establishment of a semiconductor wafer fabrication facility.
As part of its demerger effort, Vedanta Ltd. announced on October 12 that it had created a wholly-owned arm called "Vedanta Iron and Steel Ltd."
The fully-owned subsidiary was incorporated on Tuesday and is authorized to issue one lakh Rs 1 equity shares.
This action aligns with the company's September 29 announcement on the demerger of its business.