UP: The New Leader in E-Manufacturing of India
There was a time when the Electronics System Design and Manufacturing (ESDM) sector was known as a niche segment of technology. But today, it is no longer a dream to chase; it has become the backbone of modern technology. The industry is valued at 4.5 trillion USD today and estimated to grow to 6.1 trillion USD by 2030, indicating that this industry shapes how countries across the world are innovating, interacting, and creating their new digital futures. Among the biggest wonders in this picture is Uttar Pradesh, once ignored and dismissed as a rural backwater, the state has evolved today as the heartland of India’s electronics revolution. Precisely designed policies have transformed the state into a global electronic manufacturing hub. Uttar Pradesh has rediscovered and reinvented itself as the country’s biggest exporter of consumer electronics. More than half the India’s smartphones are now made in Uttar Pradesh. The journey of Uttar Pradesh from an agrarian economy to a digital manufacturing powerhouse has been remarkable.
UP: Policy that Changed Everything!
The seeds of UP’s industrial shift were planted back in 2017, when the state government introduced its first ‘Electronics Manufacturing Policy’. This ambitious policy was going to be a significant step to attract international investors to a state that had long been ignored and underestimated in terms of delivering world-class product capabilities and industrial upgradation.
Within three years, the efforts started resulting in gradual progress. This policy of the state had delivered beyond expectations, investments flowed in, jobs were created, and Uttar Pradesh suddenly featured on the global electronics map. The government also provided special support that has been carefully designed for high-tech facilities like semiconductor fabs, effluent treatment plants, and MSMEs adopting plug-and-play models. UP became the flagship state of India to offer the world reliable, affordable and durable consumer electronics.
UP: Ease of Doing with Trust
Uttar Pradesh witnessed the beginning of a strong ecosystem in 2017. The state has started establishing a ‘Fearless Business’ and ‘Trust of Doing Business' environment to promote investors and manufacturers to transform India into a global hub for emerging technologies. Uttar Pradesh has ensured development with scale and speed. In 2014, the Prime Minister himself advanced the concept of Ease of Doing Business and created an environment of healthy competition among states. Today, Uttar Pradesh has established itself as a leading state in deregulation and Ease of Doing Business. The participation of over 110 countries and nearly one million people at the AI Impact Summit held at ‘Bharat Mandapam’, demonstrated that India has advanced toward technological leadership.
Semiconductor Unit: Super move of UP
An ambitious joint venture is formed to set up an Outsourced Semiconductor Assembly & Test (OSAT) facility at YEIDA (Yamuna Expressway Industrial Development Authority) in Greater Noida.
Taiwan’s electronics manufacturing company, ‘Foxconn’ and Indian multinational IT services and consultancy company HCL Group have established this joint venture. The collaboration is named ‘India Chip Private Limited’. On 21st February 2026, PM of India laid the foundation stone for this most significant initiative and the very first semiconductor unit of Uttar Pradesh.
This highly significant and advanced OSAT facility is expected to be operational by 2028. According to the Government of India, this joint venture will invest a dedicated amount of 3,700 crore INR in this project. The facility will further develop display driver chips and will process 20,000 wafers per month. This way, the initiative will play a crucial role in fulfilling India’s continuously increasing demand for semiconductors.
UP: North India’s First Semiconductor Unit
Uttar Pradesh is becoming a crucial part of the semiconductor ecosystem in the country. This HCL and Foxconn semiconductor unit is expected to give a new recognition to Uttar Pradesh.
Gujarat was the inaugural state to introduce a dedicated semiconductor policy and approve major projects in India. Uttar Pradesh is the very first state to have a semiconductor project in ‘North India’.
This new semiconductor project will boost employment in the state, as the establishment of this semiconductor facility attracts secondary industries, which will ultimately generate more new jobs.
India started its semiconductor journey in December 2021. Under the India Semiconductor Mission (ISM), the government has so far approved 10 major semiconductor manufacturing projects representing a cumulative investment of approximately 1.60 lakh crore INR across six states.
UP: 4 Projects Approved under ECMS
The semiconductor project of HCL-Foxconn in Uttar Pradesh is not merely the establishment of an industrial unit, but a symbol of technological self-reliance for a ‘New India’ and ‘Empowered Uttar Pradesh’. This demonstrates UP is continuously cementing its position as one of India’s leading industrial states This progress is reflected in the recent approval of 22 projects under the third phase of the Central Government’s Electronics Component Manufacturing Scheme (ECMS), which includes four proposals from Uttar Pradesh.
Printed Circuit Board, very essential in the electronic manufacturing sector and serves as the backbone of modern electronics. These ECMS-backed units will bolster the electronics supply chain and minimize the import requirement and dependency. But how? Through the manufacturing of display modules, lithium-ion cells, critical manufacturing components, and PCBs (Printed Circuit Board, very essential in the electronic manufacturing sector and serves as the backbone of modern electronics.)
UP: 400% Software Exports Growth in 10 Years
Uttar Pradesh is among 11 states that have been selected to get crucial financial help under the 'Special Assistance to States for Capital Investment' scheme. This scheme is expected to create 33,791 direct jobs in the country and attract an investment of 41,863 crore INR. This scheme is expected to boost Uttar Pradesh’s economy, deliver remarkable advantages to youth, and improve infrastructure development in the state. This initiative indicates the efforts and commitment of the state government to enhance the economic growth of the region.
Uttar Pradesh’s role in the IT sector is also remarkable. The state has experienced tremendous growth in IT and software exports over the last 10 years. In the fiscal year 2015-16, software exports were approximately 15,000 crore INR. Since then, the figure has skyrocketed to an estimated 75,000 to 80,000 crore INR. 400% growth in IT exports in just 10 years, demonstrating UP’s advanced and improved technological capabilities and talent pool.
UP: Major Hub of Mobile Manufacturing
Uttar Pradesh has rapidly emerged as a national hub for electronic components and mobile manufacturing. Reinforcing its position as one of India’s fastest-growing electronics manufacturing destinations, Today, UP accounts for more than 55% of India’s total mobile manufacturing. This achievement includes leading brands worldwide, such as Samsung, Vivo, Oppo, Lava, LG, and Haier. The globally admired iPhone is also expected to be part of this, as Apple is expanding its manufacturing presence in Uttar Pradesh.
Furthermore, Uttar Pradesh has also proclaimed its manufacturing dominance in electronic component production. The state is manufacturing and contributing almost 60% of India’s supply. While 200+ IT companies in the Electronics System Design and Manufacturing (ESDM) sector are also operating in the state. This includes Major component manufacturer organizations that have established their deep root in Uttar Pradesh, such as Samkwang, Transsion, Sunwoda, Holitech, and Jahwa.
UP: Aiming at Strengthening E-Manufacturing Clusters
The ‘Electronica India and Productronica India’ edition is all set to be held at India Expo Mart Ltd. (IEML), Greater Noida, from 8th to 10th April 2026. Uttar Pradesh is the ‘Host State’ for this edition, which is planned on an expanded scale. The initiative has already experienced a robust response across the industry. This initiative is aiming at strengthening ‘demand and supply’ linkages and improving the business relevance of the 2026 editions, with more than 300 confirmed exhibitors. The Bharat Electronics Yatra, an ambitious initiative visualized by ‘Electronica India and Productronica India’, has also been designed especially for connecting buyers and an industry outreach programme, aimed at engaging Original Equipment Manufacturers (OEMs), Electronics Manufacturing Services (EMS) companies, and key Electronics buyers along with System Integrators, across the nation.
This initiative demonstrates Uttar Pradesh government’s dedicated commitment to strengthening electronics manufacturing, supply chains and regional industry participation.
The initiative further supports the industry through precisely designed progressive policies and strong industrial infrastructure. It leads to the establishment of an advanced and robust electronics manufacturing clusters that attract investments across the value chain.
UP: A Key Player in ‘Digital Diamond’ Drive
At ‘SEMICON India 2025’, held from 2nd to 4th September 2025 in New Delhi, organized by the India Semiconductor Mission (ISM), the Prime Minister of India said, “Oil was black gold, but chips (semiconductors) are digital diamond.” The statement was enough to realize the importance of ‘SEMICON India 2025’, which was aimed at positioning India as a major player in manufacturing and fulfilling the global semiconductor supply. The event marked a significant milestone in the semiconductor journey of India. This empowered Uttar Pradesh’s vision to begin its journey in this new direction.
The state’s carefully taken steps and efforts start bringing together global leaders, organizations, along with innovators and investors to advance India as a reliable, robust, and sustainable semiconductor hub. The Uttar Pradesh government has already been continuously strengthening the investor-friendly ecosystem in the state, even before the Covid-19 pandemic. The drive was profoundly equipped with policies like ‘Uttar Pradesh Electronics Manufacturing Policy 2017 and the ‘Electronics Components Manufacturing Policy 2025, which are providing great help in building strong investor trust. This new manufacturing and investing ecosystem has been evolving as a desired destination for high-tech electronics manufacturing.
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