Maruti Suzuki to Invest ₹35,000 Crore in New Gujarat Plant, Creating 7.5 Lakh Jobs

Maruti Suzuki India Limited will invest ₹35,000 crore to establish a new vehicle manufacturing plant in Khoraj, Gujarat. The project, spanning 1,750 acres, is expected to generate direct employment for over 12,000 people and create more than 7.5 lakh indirect jobs through ancillary units. The facility will have a total production capacity of 10 lakh cars per year, with the first plant commencing operations in the 2029 financial year. State leadership highlighted the project as a key step in strengthening India's automobile manufacturing corridor under the 'Make in India' vision.

Key Points: Maruti Suzuki's ₹35,000 Crore Gujarat Plant to Create 7.5 Lakh Jobs

  • ₹35,000 crore investment on 1,750 acres
  • Potential for over 7.5 lakh indirect jobs
  • Annual production capacity of 10 lakh cars
  • First plant to start production by FY 2029
  • Strengthens Gujarat's identity as an auto hub
4 min read

Maruti Suzuki to invest Rs 35,000 crore in Gujarat

Maruti Suzuki announces a massive ₹35,000 crore investment for a new Gujarat plant, set to create over 7.5 lakh jobs and boost India's auto hub status.

"This is not merely a new automobile manufacturing facility, but also an important step towards further strengthening the country's largest and most competitive automobile manufacturing corridor. - Bhupendra Patel"

Gandhinagar, January 18

Maruti Suzuki India Limited will establish a new vehicle manufacturing plant at Khoraj in Gujarat, investing ₹35,000 crore on 1,750 acres of land provided by the Gujarat Industrial Development Corporation

This development is in line with Prime Minister Narendra Modi's Make in India, Made for the World vision, Gujarat, under the leadership of Chief Minister Bhupendra Patel.

According to a release from the Gujarat Chief Minister's Office, in the presence of Chief Minister Patel and Maruti Suzuki Managing Director Hisashi Takeuchi, the Investment Letter Hand Over Ceremony for this plant was held in Gandhinagar. Deputy Chief Minister Harsh Sanghavi, along with Maruti Suzuki's Whole Time Director and Executive Committee Member Sunil Kakkar, were also present on this occasion.

This new Maruti plant will generate potential employment opportunities for more than 12,000 people. Moreover, as a result of this plant, ancillary units and MSME units will also be established in the surrounding areas. This is expected to create more than 7.50 lakh indirect employment opportunities, and with the formation of an integrated cluster, Gujarat's identity as an auto hub will be further strengthened.

Under this project, a total production capacity of 10 lakh cars per year will be developed through four plants, each having an annual production capacity of 2.5 lakh cars. Maruti Suzuki India Limited plans to commence production at the first plant from the financial year 2029.

Welcoming the project investment of Maruti Suzuki India Limited, Chief Minister Bhupendra Patel said that this is not merely a new automobile manufacturing facility, but also an important step towards further strengthening the country's largest and most competitive automobile manufacturing corridor. He highlighted that under the leadership of Prime Minister Narendra Modi, India-Gujarat-Japan relations have consistently remained strong. He emphasised that the government will continue its efforts to uphold the assurance given by Suzuki's CEO during his visit to Japan, when Gujarat was described as a second home. He added that under the leadership of Prime Minister, Gujarat has become a policy driven state through sustainable policymaking. In addition, Gujarat has also earned a reputation for robust infrastructure and a development approach aligned with the needs of industries.

Deputy Chief Minister Harsh Sanghavi said that since the inception of the Vibrant Summit, inspired by Prime Minister Narendra Modi, Japan has remained both a partner country and a key partner in development. He added that when Maruti Suzuki Motors first came to Gujarat for investment, the proactive support and cooperation extended by the state government will continue in the same spirit under the guidance of Chief Minister Bhupendra Patel.

Maruti Suzuki Motors MD Hisashi Takeuchi, while appreciating the support extended by the Government of Gujarat, said that Gujarat is emerging as a leader in mobility transformation, from which Maruti Suzuki has also benefited. He added that through a strong partnership with the Government of Gujarat, Maruti Suzuki is keen to actively contribute to the Make in India initiative through its manufacturing units in the state.

Notably, an MoU was signed between the Government of Gujarat and Maruti Suzuki India Limited during the Vibrant Summit 2024 for the construction of this new vehicle facility.

Prime Minister Narendra Modi had invited Suzuki Motors to invest in Gujarat in 2012. In response, Maruti's first plant in Gujarat is operational at Hansalpur. This plant currently produces 7.50 lakh cars per year, and a plan has been made to increase this by 2.50 lakh cars to reach a production of 10 lakh units per year by the 2026-27 financial year.

This ceremony was attended by Chief Secretary Manoj Kumar Das, Industries and Mines Department Principal Secretary Mamta Verma, Principal Secretary to the CM Sanjeev Kumar, Industries Commissioner P. Swaroop, Additional Principal Secretary to the CM Dr. Vikrant Pandey, M.D. of GIDC Praveena D.K, and Maruti Suzuki Motors CFO Arnab Roy, Executive Officer Manjaree Chaudhary, Parikshit Maini, and Jigar Desai.

- ANI

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Reader Comments

P
Priya S
Great to see such a massive investment. My only hope is that the jobs created are good quality with proper training and fair wages, not just temporary contract work. The focus should be on skilling our youth for long-term careers in automotive tech.
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Rohit P
Gujarat continues to attract big investments! The infrastructure and policy stability there is a major draw for companies. This will put pressure on other states to improve their business environment too. Healthy competition is good for the country.
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Sarah B
As someone who follows global auto trends, it's impressive to see Maruti Suzuki doubling down on India. A 10 lakh annual capacity plant shows they see India not just as a large market, but as a global export hub. Exciting times for the auto sector.
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Vikram M
Hope this leads to more innovation and maybe even electric vehicle production in Gujarat. We need to future-proof these investments. Also, the ancillary units for MSMEs are crucial – that's where real distributed economic growth happens. 👍
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Karthik V
While the investment is welcome, I hope the environmental impact assessment is done thoroughly. 1,750 acres is a lot of land. Development is important, but so is sustainable development. The article doesn't mention any green initiatives for the new plant.
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Michael C

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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