Gujarat Chip City: Japan & Taiwan Firms Plan Housing in Dholera; Tata Fab to Host Expats

Japanese and Taiwanese firms, including Tokyo Electron (TEL) and PSMC, are considering establishing country-specific housing corridors in Dholera, Gujarat to host expat employees working at the Tata Group’s upcoming semiconductor fab. These townships are designed to cater to cultural needs, dietary preferences, and lifestyle requirements in a remote industrial hub.

TEL from Japan and PSMC from Taiwan, both partners in the Tata fab project, are exploring private housing solutions for their employees. A senior Gujarat government official told ET that land has already been allocated for residential and recreational facilities, complementing Tata Group’s housing and the government’s Global Tent City initiative.

TEL is leading the Japanese initiative, partnering with Tata Electronics to develop semiconductor equipment infrastructure for the Dholera fab and the upcoming assembly and test facility in Jagiroad, Assam. The company will also train Tata Electronics’ workforce and support R&D efforts. TEL executive vice president Takeshi Okubo noted that Dholera’s new location requires specialized employee housing, unlike established fab regions in South Korea, Taiwan, and Singapore.

Dholera is approximately 100 km from Ahmedabad and 600 km from Mumbai. The upcoming Mumbai-Ahmedabad bullet train is expected to enhance connectivity and attract talent. Other companies, including American engineering services provider Jacobs Solutions, are exploring similar workforce housing solutions. Executives at Jacobs highlighted that building employee infrastructure in a remote location like Dholera presents unique challenges, but partnerships with existing initiatives could help overcome them.