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Tata, Gujarat Builds India’s First Smart Industrial City in Dholera

Smart City

Business Honor
20 March, 2025

An AI-driven semiconductor hub to boost jobs, innovation, and India's tech leadership.

India is about to see a revolution with the upcoming creation of its first smart industrial city in Dholera, Gujarat. The ambitious development project for this city is being made under the Dholera Special Investment Region (DSIR) on a joint initiative by the Government of India and the government of Gujarat.

One of the major features of this project is the Tata Group's gargantuan semiconductor manufacturing facility ('Fab'), which has been cleared by the government. Tata Electronics, jointly with Powerchip Semiconductor Manufacturing Corporation (PSMC), is committing ₹91,000 crores to develop India's first AI-capable semiconductor Fab in Dholera. The chip plant will possess a monthly output of 50,000 wafers and produce chips for power management ICs, microcontrollers, and display drivers, as well as for high-performance logic computing. Over 20,000 high-skilled jobs and a tremendous surge in India's semiconductor industry would be created in the facility.

To enhance connectivity, a six-lane expressway between Dholera and Ahmedabad has been constructed, and an international airport will be functional from July 2025. These developments will promote trade, investment, and the free movement of goods and people.

Dholera Smart Industrial City will be a technology-oriented city with next-generation automation, data analytics, and machine learning to achieve maximum industrial efficiency. It will be a hub for wireless communication, AI, automotive, and data storage industries, making India a global leader in semiconductor manufacturing.

With green energy growth, green infrastructure, and advanced technology, Dholera is set to revolutionize India's industry. The project emphasizes the government's thrust on smart cities, self-reliance (Aatmanirbhar Bharat), and the integration of technology, which marks a milestone in India's economic growth.