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Maruti Suzuki To Invest ₹35,000 Crore In New Gujarat Plant With Annual Capacity Of 10 Lakh Cars
Maruti Suzuki India has announced a ₹35,000 crore investment to develop a new vehicle manufacturing plant in Gujarat, aimed at significantly expanding the company's production capacity and supporting both domestic sales growth and exports.
The new facility is planned for development at Khoraj in the Sanand region, on approximately 1,750 acres of land provided by the Gujarat Industrial Development Corporation (GIDC) and will be the second Maruti Suzuki manufacturing plant in Gujarat.
Once completed, the new Gujarat plant is expected to add an annual production capacity of up to 10 lakh (1 million) vehicles, significantly increasing Maruti Suzuki's manufacturing footprint. The project is also projected to generate employment opportunities for around 12,000 people directly and will stimulate job creation in ancillary units, suppliers and MSME clusters in the region.
The new facility is part of Maruti Suzuki's strategy to expand capacity amid rising demand in India, the world's third-largest car market, and to strengthen its role as a global production hub.
The company's existing manufacturing plants - located in Gurugram, Manesar, Kharkhoda (Haryana) and Hansalpur (Gujarat) - have long formed the backbone of its Indian operations. The Hansalpur plant, formerly Suzuki Motor Gujarat, already has significant annual capacity, which the new Khoraj site will complement.
Production at the new Gujarat plant is expected to begin in the financial year 2029. The phased development approach will see different production lines commissioned over time to reach the planned annual output of 10 lakh cars, which will be added to Maruti Suzuki's existing manufacturing capacity of around 24 lakh vehicles per year.
The investment also aligns with Maruti Suzuki's long-term growth strategy and broader automotive trends. Industry observers note that the company has been planning capacity expansions in India to meet both domestic and international demand, given its export networks and model line-up. This includes a previously approved investment of nearly ₹4,960 crore for land acquisition and preparatory work at the Khoraj site earlier in January.
Commenting on Maruti Suzuki's latest investment, Bhupendra Patel, the CM of Gujarat posted on X, "Glad to witness the Investment Letter Handover by Maruti Suzuki India Limited to the Government of Gujarat for setting up a mega car manufacturing facility at Khoraj, with an investment of ₹35,000 crore.
This project will have a total annual production capacity of 10 lakh vehicles, generate employment opportunities for over 12,000 people, and catalyse the growth of ancillary units and MSMEs, creating a robust auto manufacturing cluster."
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