Archive · 12 Jan 2026
Maruti Suzuki to invest ₹4,960 crore in Gujarat
Maruti Suzuki, a big car company, is going to spend a lot of money (₹4,960 crore) to build a new factory in Gujarat, India.
This new factory will be able to make 10 lakh cars every year.
It will be near another car factory owned by Tata Motors.
Maruti Suzuki already has a factory in Gujarat called Hansalpur, which makes cars like Baleno and Dzire.
They are also planning to spend more money (₹3,200 crore) to make another factory in Hansalpur that will make electric cars.
Right now, Maruti Suzuki can make about 24 lakh cars every year in different places.
The new factory is expected to start making cars in the year 2026-27.
Some people are happy because it will create jobs, but others are worried about the environment.
Maruti Suzuki to invest ₹4,960 crore in a new car manufacturing unit in Khoraj, Gujarat.
The new facility will have a production capacity of 10 lakh cars annually.
The location is 21 kilometers from the automobile hub of Sanand, near Tata Motors plant.
Maruti Suzuki already operates a facility in Hansalpur, Gujarat, with a capacity of 10 lakh cars.
The company plans to invest an additional ₹3,200 crore in setting up a fourth line in Hansalpur for electric vehicles.
- Who
- Maruti Suzuki India Ltd
- What
- Investment of ₹4,960 crore for a second car manufacturing unit
- When
- Announced on January 12, 2026
- Where
- Khoraj, Ahmedabad district, Gujarat
- Why
- To expand production capacity and meet growing demand
Expansion Advocates
Environmental Concerns
Economic Growth
Expansion Advocates
Expansion will boost local economy and create jobs.
Environmental Concerns
Industrial expansion may lead to environmental degradation.
- Investment Amount
- ₹4,960 crore
- Location
- Khoraj, Ahmedabad district, Gujarat
- Production Capacity
- 10 lakh cars annually
- Proximity to Tata Motors Plant
- 21 kilometers
- Existing Gujarat Facility
- Hansalpur, Ahmedabad
- Existing Production Capacity
- 24 lakh units per annum
- Additional Investment in Hansalpur
- ₹3,200 crore
- Expected Commissioning of Fourth Plant
- FY 26-27
- Financing Mode
- Combination of internal accruals and external borrowings
Sources
Maruti Suzuki to invest ₹4,960 crore for a second car manufacturing unit in Gujarat
Maruti Suzuki to invest ₹4,960 crore to set up 2nd plant in Gujarat
Maruti Suzuki board approves ₹4,960-crore proposal to acquire land for expanding capacity in Gujarat
Maruti joins hands with IOCL for vehicle service facilities at fuel retail outlets
Maruti Suzuki’s Rs 4,960 crore Gujarat expansion bet: Can this 1 million unit power move boost growth?
Maruti Suzuki clears Rs 4,960 cr for new Gujarat plant; to add 1 mn capacity