Dholera SIR Attracts Big Chip Investments in 2025

Key Facts

• Fujifilm Electronic Materials announced on September 10 that it will set up a semiconductor materials facility in Dholera Special Investment Region (SIR) — its first major investment in India’s chip ecosystem.
• Nextgen Semiconductor revealed on September 15 that it will raise ₹1,500 crore over the next 12 months to build an integrated Silicon and Silicon Carbide power-chip platform at Dholera SIR.
• Japanese and Taiwanese firms, including Tokyo Electron and Powerchip Semiconductor (PSMC), are in talks to create dedicated expatriate housing corridors near the upcoming Tata-PSMC fab.

Background

Dholera SIR, developed under the Delhi-Mumbai Industrial Corridor (DMIC), is positioned as India’s first greenfield smart city and a global semiconductor hub.

Key infrastructure includes:

• The ₹91,000 crore Tata-PSMC semiconductor campus
• The greenfield airport, expected by mid-2026
• The Ahmedabad-Dholera Expressway, nearing completion

Official Statements

• Gujarat CM Bhupendra Patel: Investments reflect “global confidence in Dholera’s strategic roadmap” and promised swift land-allotment clearances.
• Industries Minister Balwantsinh Rajput: Highlighted “robust policy support” and “world-class infrastructure” as enablers for rapid growth.

Reactions

• Semiconductor analysts: Predict Dholera could emerge as “India’s Silicon Valley.”
• Real-estate developers: Estimate 8–10% rental yields in upcoming expat housing corridors.
• Business chambers: Urged faster power-grid augmentation to sustain future chip manufacturing demand.

Impact

• 50,000+ skilled jobs expected locally
• ₹2 lakh crore in ancillary investments projected
• Boosts India’s semiconductor supply-chain resilience amid East Asia’s geopolitical uncertainties
• Positions Dholera as a global chip-making and technology destination

FAQs – Dholera Hi-Tech City September 2025

1. Why is Dholera SIR becoming important for the semiconductor industry?

Dholera SIR is India’s first greenfield smart city under the Delhi-Mumbai Industrial Corridor. With state-backed incentives, a ₹91,000 crore Tata-PSMC chip fab, and world-class infrastructure, it is emerging as the country’s top semiconductor hub.

2. What new investments were announced in September 2025?

• Fujifilm Electronic Materials announced a semiconductor materials facility.
• Nextgen Semiconductor plans to raise ₹1,500 crore for a silicon & silicon carbide chip platform.
• Japanese and Taiwanese firms are planning expat housing corridors near Tata-PSMC’s fab.

3. How many jobs will these projects generate?

Over 50,000 skilled jobs are expected directly, with significant indirect employment in allied sectors.

4. When will the Dholera airport be operational?

The greenfield airport is targeted for mid-2026, aligning with the city’s industrial growth.

5. What is the status of the Ahmedabad-Dholera Expressway?

The expressway is nearly complete and will provide high-speed connectivity to Ahmedabad, cutting travel time to under an hour.

6. What kind of housing is planned for expatriates?

Japanese and Taiwanese companies are working with local developers to create dedicated expat housing corridors, offering international-grade living standards near the semiconductor campuses.

7. How much ancillary investment is expected?

Around ₹2 lakh crore in ancillary industries—covering supply chains, logistics, real estate, and support services—is projected in the coming years.

8. How does Dholera compare to other Indian cities in attracting chip investments?

Dholera stands out due to greenfield planning, large land parcels, government incentives, and integrated infrastructure, making it more attractive than retrofitted clusters in other states.