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Home»Business»Maruti Suzuki board approves land acquisition for ₹35,000 crore second plant in Gujarat
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Maruti Suzuki board approves land acquisition for ₹35,000 crore second plant in Gujarat

editorialBy editorialJanuary 12, 2026No Comments2 Mins Read
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Maruti Suzuki board approves land acquisition for ₹35,000 crore second plant in Gujarat
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Board of Maruti Suzuki India Ltd. has approved ₹4,960 crore towards costof land acquisition,development and preparatoryactivities, the company said in a regulatory filing. File
| Photo Credit: Reuters

Board of Maruti Suzuki India Ltd. (MSIL) on Monday (January 12, 2026)granted approvaltoacquireland forexpansion ofproductioncapacity at Khoraj IndustrialEstate in Sanandfrom Gujarat Industrial Development Corporation.

This will be the company’s second plant in Gujarat, the first being at Hansalpur.

Currently the total existing capacity of the company isaround24 lakh units perannuminGurugram, Manesar,Kharkhodaand Hansalpur,with a capability toproduce26 lakhunitsperannum.

Thisincludesthe unitsproducedaterstwhile Suzuki MotorGuiarat PrivateLtd. which hasbeen amalgamatedwiththe company. Since theexistingcapacityis fully utilised, approval has come for the new plant.

The proposed capacityadditionis upto 10 lakhunits per annum. It will be operational in phases, the company said.

The board has approved ₹4,960 crore towards costof land acquisition,development and preparatoryactivities, the company said in a regulatory filing.

It will be financed through a combination of internal accruals and external borrowings. This factory will cater to both domestic and exports markets.

In January 2024,President of Suzuki Motor Corporation (SMC), Toshihiro Suzuki had announced that MSIL wouldmake more investments in Gujarat with a new geeenfield plant.

This new plant in Gujarat is aimed to start operation in FY29. This unit will have total investment of ₹35,000 crore(excluding land acquisition cost).

Combined with the new plant in Gujarat, the total annual production capacity in the State of Gujarat will be 2 million.

Maruti Suzuki plans to secure a production capacity of approximately 4 million units in India by FY2030-31 to prepare for future expansion of automobile market in India.

Published – January 12, 2026 02:40 pm IST

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