Maruti Suzuki To Invest Rs 35,000 Crore To Set Up New Plant In Gujarat
- Maruti Suzuki wants to increase its manufacturing capacity from 750,000 units to 1 million units
- The new line is expected to be operational from 2028-2029
- As of now, MSIL has a total annual production capacity of 2.25 million units across its three plants in India
Maruti Suzuki India has announced an investment of Rs. 35,000 crore in Gujarat to set up a new manufacturing facility in the State. The investment amount excludes land acquisition costs. This new plant in Gujarat is aimed to start operation in FY2028-29, and in future will have a total production capacity of 1 million units per year. Details about the location and the models to be produced at the plant will be shared later.
Also Read: Royal Enfield Signs Rs. 3,000 Crore MoU With Tamil Nadu Government
The Maruti Suzuki eVX concept on display at the Vibrant Gujarat Global Summit 2024.
Additionally, the company has also announced its plan to add a fourth assembly line in its existing wholly-owned subsidiary Suzuki Motor Gujarat Private Limited (SMG) plant. The carmaker will be separately investing Rs. 3,200 crore for setting up the new production line, which will be used to manufacture electric vehicles. With the new assembly line, Maruti Suzuki will be able to additionally produce 250,000 units annually. With this, the annual production capacity of SMG will increase from the current 750,000 units to 1 million units. The new line will start operation from 2026-27.
The two investments were announced by Toshihiro Suzuki, president of Suzuki Motor Company (SMC), at the Vibrant Gujarat Global Summit 2024 in Gandhinagar, Gujarat, in the presence of Prime Minister Narendra Modi. SMC is MSIL's parent company. At present, MSIL has a total annual production capacity of 2.25 million units at its three plants, which are located at Gurugram in Haryana, Manesar in Haryana and Hansalpur in Gujarat.
"Maruti Suzuki plans to secure a production capacity of approximately 4 million units in India by 2030-31 to prepare for future expansion of the automobile market in India. The new plant in Kharkhoda, Haryana, which is planned to start operation in 2025, the new plant in Gujarat and the fourth production line of SMG (the company running the existing Gujarat plant) will help achieve the milestone of 4 million" said the company statement.
Also Read: Hyundai Motor India To Invest Rs 6,180 Crore, Set Up Hydrogen Innovation Hub In Tamil Nadu
Over the last decade, there have been many automakers who have opted to invest in Gujarat to open their manufacturing units due to the state being business-friendly and close proximity to the western coast, facilitating easy export and import of vehicles and parts. Apart from Maruti Suzuki, automakers, including Tata Motors, MG Motor, Mahindra & Mahindra and Hero MotoCorp have manufacturing plants in the state.
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