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Maruti Suzuki Approves ₹4,960 Crore for Gujarat Land to Enable 1 Million-Unit Plant

The decision establishes a new Gujarat foothold to relieve capacity constraints from record output.

Overview

  • The board cleared funding to acquire and develop GIDC land at Khoraj Industrial Estate for a future manufacturing site.
  • The proposed capacity addition is up to 1 million vehicles a year, with total project cost, phasing and commissioning to be decided later by the board.
  • The ₹4,960 crore allocation covers land, development and preparatory work, to be financed through internal accruals and external borrowings.
  • Maruti Suzuki reports production of about 2.4 million units against roughly 2.6 million installed capacity, with current capacity fully utilized.
  • The site would be the company’s second manufacturing location in Gujarat alongside Hansalpur, aligning with plans discussed to lift total capacity toward four million units by 2031.