Young Liu, Chairman & CEO of Foxconn, the global electronics giant, on Friday revealed that the company has yet to find a new partner after its joint venture (JV) with Vedanta was scrapped. In an exclusive interview with CNBC-TV18 on the sidelines of Semicon India 2023 in Gujarat, Liu said Foxconn remains unwavering in its commitment to India's semiconductor sector and will continue to work closely with Vedanta in many other industries, particularly in the growing fibre sector.

Meanwhile, Vedanta Chairman Anil Agarwal said his company and Foxconn remain the "best of friends", indicating no acrimony after the JV fell through. He elaborated that the JV did not work out due to differences in vision.

"We were looking for a partnership for technology. Foxconn felt they would like to be a downstream partner. Many other partners are now coming forward and we should make an announcement in three or four months. Initially, we are acquiring land and checking feasibility," Agarwal elaborated.

Liu said Foxconn has faith in India's potential as a vital market and manufacturing hub and said that it will invest over $2 billion in the country over the next five years.

On Vedanta, Liu said although the JV did not materialise, Foxconn remains committed to maintaining a close working relationship with the company. The two entities are exploring collaborative opportunities in various sectors, exemplified by their recent joint ventures in the fibre industry.

Vedanta: Best of friends with Foxconn

Agarwal said despite the JV not working out, his company and Foxconn are the "best of friends". Agarwal said Vedanta is speaking to three potential partners — one for foundry, one for chip manufacturing & packaging, one for design.

"Foxconn is more of a downstream player. Our association with Foxconn will be in an ecosystem capacity, but they don't have a license on foundry," he said.

Agarwal also claimed that Vedanta will manufacture a "Made in India" semiconductor chip in two-and-a-half years, with the company investing $5 billion dollars in the first phase of operations. "There's a queue of people willing to give us equity and we are in a very comfortable position to address our debt," he said.

Also read: Foxconn exit from Vedanta JV has no impact on India's semiconductor goals: Minister

First Published:Jul 28, 2023 2:39 PM IST