Maruti Suzuki, India’s largest car manufacturer, is set to significantly expand its manufacturing footprint in Gujarat with a landmark investment of ₹35,000 crore. The company has announced plans to establish a second vehicle manufacturing plant at Khoraj in Gandhinagar district, following the success of its existing facility at Hansalpur. This ambitious project is expected to position Gujarat as one of the most important automobile manufacturing hubs in the country while creating thousands of jobs and strengthening India’s global automotive supply chain.
The investment letter handover ceremony for the new plant was held in Gandhinagar in the presence of Gujarat Chief Minister Bhupendra Patel. Senior state government officials, including Deputy Chief Minister Harsh Sanghvi, were also present at the event, along with top leadership from Maruti Suzuki India Limited. The occasion marked a major milestone in the long-standing industrial partnership between the Gujarat government and Maruti Suzuki.
A World-Class Manufacturing Facility in Khoraj
Under the new project, Maruti Suzuki will develop a state-of-the-art vehicle manufacturing facility spread across approximately 1,750 acres of land in Khoraj, Gandhinagar. Once fully operational, the plant will have the capacity to produce up to 10 lakh cars annually, making it one of the largest automotive manufacturing complexes in India.
The project will be developed in phases, with plans to establish four individual manufacturing units. Each unit will have a production capacity of 2.5 lakh vehicles per year, collectively contributing to the total annual output of 10 lakh cars. According to company officials, production from the first plant is expected to commence in the financial year 2029.
This expansion will complement Maruti Suzuki’s existing operations in Gujarat and reinforce the state’s growing reputation as a preferred destination for large-scale industrial investments.
Employment Generation and Economic Impact
One of the most significant aspects of the Maruti Suzuki Khoraj project is its potential to generate large-scale employment. The company has stated that the new plant will directly employ more than 12,000 people once it becomes operational. These jobs will span a wide range of roles, including manufacturing, engineering, quality control, logistics, and administrative functions.
In addition to direct employment, the project is expected to create substantial indirect job opportunities through the development of ancillary industries and MSME units. Officials estimate that nearly 7.5 lakh indirect jobs could be generated over time as suppliers, vendors, logistics providers, and service companies set up operations around the manufacturing facility. This ripple effect is likely to provide a major boost to the regional economy and support long-term industrial growth in Gujarat.
Strengthening Gujarat’s Automobile Manufacturing Corridor
Speaking at the ceremony, Chief Minister Bhupendra Patel described the project as more than just a new automobile plant. He said it represents a crucial step in further strengthening what is already the largest and most competitive automobile manufacturing corridor in India.
The Chief Minister highlighted Gujarat’s pro-industry policies, robust infrastructure, and efficient governance as key factors that continue to attract global manufacturers like Maruti Suzuki. He also expressed confidence that the state government would provide full support to ensure the timely execution of the project and its smooth operation in the years to come.
With this new investment, Gujarat is set to emerge as a powerhouse in automobile production, contributing significantly to India’s overall manufacturing output and export potential.
India–Japan Industrial Partnership in Focus
Deputy Chief Minister Harsh Sanghvi, addressing the gathering, emphasized the deep-rooted industrial ties between Gujarat and Japan. He noted that Japan has been a trusted development partner of Gujarat since the early days of the Vibrant Gujarat Summit, which has played a pivotal role in attracting foreign direct investment to the state.
Projects led by Japanese companies, including Maruti Suzuki, have consistently contributed to Gujarat’s industrial growth and technological advancement. Sanghvi described the Khoraj plant as a milestone project that reflects mutual trust and long-term collaboration between Indian and Japanese industries.
Maruti Suzuki’s Managing Director, Hitachi Takeuchi, was also present at the event, underscoring the company’s commitment to expanding its manufacturing capabilities in India and supporting the country’s vision of becoming a global manufacturing hub.
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Maruti Suzuki’s Long-Term Vision for India
The decision to invest ₹35,000 crore in Gujarat aligns with Maruti Suzuki’s broader long-term strategy for India. As demand for passenger vehicles continues to grow, the company aims to enhance its production capacity, adopt advanced manufacturing technologies, and strengthen its supply chain resilience.
By expanding its operations in Gujarat, Maruti Suzuki is also leveraging the state’s strong logistics network, port connectivity, and investor-friendly environment. These factors are critical for supporting large-scale manufacturing and meeting both domestic and international market demands.
The upcoming Khoraj plant is expected to feature modern production systems, automation, and sustainability-focused practices, reinforcing Maruti Suzuki’s position as a leader in efficient and responsible manufacturing.
A Transformational Project for Gujarat
The establishment of Maruti Suzuki’s second plant in Gandhinagar marks a transformational moment for Gujarat’s industrial landscape. The project not only brings massive investment and employment opportunities but also strengthens the state’s standing as a global destination for automobile manufacturing.
As Gujarat prepares to produce up to 10 lakh cars per year from this new facility, the state’s contribution to India’s automotive sector is set to reach new heights. With strong government support, international collaboration, and Maruti Suzuki’s manufacturing expertise, the Khoraj project is poised to become a cornerstone of India’s automotive future.
In the coming years, this expansion is expected to play a crucial role in driving economic growth, fostering innovation, and reinforcing Gujarat’s leadership in the country’s industrial development journey.
