Maruti Suzuki to invest ₹35,000 crore in Gujarat factory to churn out 1 million cars each year
In his address, T Suzuki, representative director and president of Suzuki Motor Corp, said: “Compared to 10 years ago, we expect 1.7 times in vehicle production and 2.6 times in export sales in the current fiscal.”
The company will set up a one million unit per annum capacity plant in Gujarat, second in the state and fifth in the country. This will entail an investment of ₹35,000 crore. Production is likely to start in FY29.
Meanwhile, Suzuki Motor Corp will add a fourth production line to its wholly owned subsidiary Suzuki Motor Gujarat. It would also invest ₹3,200 crore to increase production of electric vehicles. Suzuki Motor Co, the parent firm, plans to launch six EVs in India by 2030, with the segment accounting for 15% of Maruti Suzuki’s India sales by 2030-end.
Maruti Suzuki India Chairman R C Bhargava said an established vendor base and an expansion in the existing unit will give the maker of Brezza and Wagon R models and its suppliers in the region economies of scale. The port infrastructure of the state and its proximity to the plant also gives it a competitive advantage. “These are the reasons for choosing the state as a preferred destination for our new plant,” Bhargava told ET.
It envisages the exports to be around 800,000 units by 2030-31.
