Maruti Suzuki to Invest Rs 35,000 Crore in New Sanand Plant, Targeting 10 Lakh Cars Annually
Maruti Suzuki's Rs 35,000 Crore Sanand Plant to Make 10 Lakh Cars

Maruti Suzuki Announces Major Investment in Gujarat's Sanand

Maruti Suzuki India Ltd has unveiled plans for a substantial new manufacturing facility in Gujarat. The company will invest a staggering Rs 35,000 crore to establish this plant at the Khoraj industrial estate in Sanand. This development marks a significant expansion for the automaker in the state.

Production Capacity and Employment Generation

The new Sanand facility is designed to manufacture a total of 10 lakh cars annually. A government statement released on Saturday confirmed this ambitious production target. The project promises to generate direct employment for more than 12,000 individuals. Additionally, it is expected to create around 7.5 lakh indirect job opportunities through ancillary units and MSMEs.

Project Details and Timeline

The plant will occupy 1,750 acres of land acquired by the Gujarat Industrial Development Corporation (GIDC). Its location is near the Mandal Becharaji Special Investment Region (MBSIR), which already hosts Maruti Suzuki's first Gujarat plant in Hansalpur village. The project involves the construction of four separate plants, each with an annual production capacity of 2.5 lakh cars. The first of these plants is scheduled to commence production by 2029.

Official Ceremony and Statements

A formal handing-over ceremony for the investment letter took place in Gandhinagar. Chief Minister Bhupendra Patel and Maruti Suzuki India Ltd's Managing Director and CEO, Hisashi Takeuchi, attended the event. Deputy Chief Minister Harsh Sanghavi and Maruti Suzuki's Whole Time Director Sunil Kakkar were also present.

Chief Minister Patel emphasized the project's broader impact. He stated that this is not just a new automobile manufacturing facility. It represents a crucial step in strengthening India's largest and most competitive automobile manufacturing corridor.

Hisashi Takeuchi highlighted Gujarat's growing role in mobility transformation. He noted that Maruti Suzuki has benefited from this environment. Through a strong partnership with the Gujarat government, the company aims to actively contribute to the Make in India initiative via its manufacturing units in the state.

Historical Context and Existing Operations

This new plant will become Maruti Suzuki's fourth manufacturing facility in India. The company already operates two plants in Haryana and one in Gujarat's Hansalpur village. The Hansalpur plant, which began operations after an invitation from then Chief Minister Narendra Modi in 2012, currently produces 7.50 lakh cars per year. Plans are in place to increase this output by 2.50 lakh cars, reaching a total of 10 lakh units annually by the 2026-27 financial year.

An MoU for the Sanand project was initially signed during the Vibrant Gujarat summit in 2024. The latest announcement solidifies this commitment, showcasing continued confidence in Gujarat's industrial ecosystem.