Maruti Suzuki today signed an agreement with the Haryana government for the set-up of its third and largest production facility in the state. The new 800-acre plant will be set up in IMT Kharkhoda in the Sonipat district with Maruti Suzuki stating that it planned to invest ₹ 18,000 crore into the new plant. The company said that the new facility would have a maximum annual production capacity of up to 10 lakh units annually making it one of the largest car plants in the country and Maruti’s largest plant in India. Also announced at the agreement signing was a second ₹ 1,500 crore investment by Suzuki Motorcycles India for a 100 acre facility in the same region
Speaking at the signing, Kenichi Ayukawa, Executive Vice Chairman, Maruti Suzuki, “Today, we sign the agreements with the Haryana government for allotment of 800-acre land to Maruti Suzuki and 100-acre land to Suzuki Motorcycle India Private Limited. Maruti Suzuki will start construction work on the car manufacturing plant immediately. With the support of the state government, the first plant, with an annual capacity of 2.5 lakh vehicles, is expected to be commissioned within the year 2025.”
Maruti Suzuki presented a cheque of ₹ 2131 crore as payment of the land.
Maruti Suzuki also announced a stepped approach to its investment in the new plant with an initial investment of ₹ 11,000 crore in Phase 1 of the project. The investment will cover the cost of the land, setting up the car manufacturing plant and some infrastructure and facilities for future plants. The plant is expected to have an annual production capacity of 2.5 lakh units when it commences operations in 2025. The company is eyeing to reach full production capacity at its new facility by 2030 taking its overall manufacturing capacity to 18 lakh units annually.
Aside from confirming the additional investment from Suzuki Motorcycles India for a new 100 acre facility, Ayukawa said that further details for the same would be revealed by the two-wheeler manufacturer at a later date.
Highlights
- New plant to open in 2025 with 2.5 lakh unit annual capacity
- Maruti to invest Rs 11,000 crore to set up plant and infrastructure
- Suzuki Motorcycle India also enters agreement for new 100 acre facility
Keyword: Maruti Suzuki Signs Agreement For Third Plant In Haryana