Maruti to design Rs 18k cr at Sonipat factory to launch 1 million units/year

Maruti Suzuki India (MSI) said on Thursday that its new manufacturing office in Haryana, the organization’s third in the state, will reach a maximum creation capacity of 10 lakh units for each year over the next eight years, involving a total investment of Rs 18,000 crore. The new facility, which is said to come on an 800-acre site at IMT Kharkhoda in Sonipat district, will involve a total investment of Rs 11,000 crore in the main stage with a creation capacity of 2.5 lakh units per year.

Speaking at an event held here to mark the official announcement of land allocation to the auto major, MSI Chairman RC Bhargava said the 10 lakh production capacity of the Sonipat plant would help meet demand in domestic and export markets.

The first set of vehicles is expected to roll out of the facility in 2025.

“Subject to market conditions, we will be able to reach full production capacity in 8 years. The Sonipat plant will then become the largest site with a production capacity of 10 lakh cars,” he noted.

Its parent company Suzuki Motor Corp has also set up a factory in Gujarat with an installed production capacity of 7.5 lakh units a year after the start of production of the third unit in April last year.

Currently, MSI has a combined production capacity of around 22 lakh units per year at its two manufacturing plants in Haryana and Suzuki Motor’s parent plant in Gujarat. The two factories in Haryana – at Gurugram and Manesar – together deploy around 15.5 lakh units annually.

All units produced at Suzuki Motor Gujarat Pvt Ltd (SMG) are supplied to MSI.

MSI Executive Vice President Kenichi Ayukawa said the growth of Maruti Suzuki and the prosperity of the people of Haryana are intertwined.

“When Suzuki Motor Corporation started operations in Haryana, India was not on the world map of car manufacturing. Today, India is the fourth largest car manufacturer in the world. And we hope that in the coming years, India will become the third largest automaker in the world,” he said. He noted that Haryana has played a leading role in the growth of the business over the years, helping to become the nation’s leading automaker.

“So we are happy that Haryana is one of the best car manufacturing sites not only in India but in the world. Today we are signing the agreements with the Government of Haryana for the award of 800 acres of land to Maruti Suzuki and 100 acres of land to Suzuki Motorcycle India Private Limited Maruti Suzuki will immediately start construction works on the car manufacturing plant,” Ayukawa said. of the state, the first factory, with an annual capacity of 2.5 lakh vehicles, is expected to be commissioned by 2025, he added.

Phase 1 of the project will have an investment of around Rs 11,000 crore, Ayukawa said. This includes the land, the car manufacturing plant and some common infrastructure and facilities for future factories, he added.

MSI presented a check for Rs 2,131 crore to the Haryana State Industrial and Infrastructure Development Corporation Ltd (HSIIDC). In addition, Suzuki Motorcycle India, which will get 100 acres of land at the new facility, handed over a check of Rs 266 crore for the allocation of the land.

Haryana Government Principal Secretary for Industries and Commerce Vijayendra Kumar said Maruti Suzuki and Suzuki Motorcycle have committed an investment of Rs 18,000 crore and Rs 1,466 crore for the Sonipat site. The facility will provide direct and indirect employment opportunities to more than 13,000 people, he added.

Summary of news:

  • Maruti to design Rs 18k cr at Sonipat factory to launch 1 million units/year
  • Check out all the news and articles from the latest business news updates.

About Octavia A. Dorr

Check Also

Shanshan Ren of Experience Design Group for Lenovo has developed a new truly wireless gaming headset with convenient and reliable automatic charging support

Morrisville, North Carolina, USA The Legion H600 headset and S600 charger combo designed by Shanshan …