Maruti Suzuki to invest ₹7,410 crore to set up third plant in Haryana, will play a crucial role in growth strategy

Maruti Suzuki India said on Wednesday that its board had approved the plan of setting up a third manufacturing plant at Kharkhoda in Haryana with an investment of ₹7,410 crore. The new manufacturing plant has a production capacity of up to 250,000 vehicles per year, taking the auto manufacturer's total production volume to 750,000 per annum.

In its regulatory filing, the company stated that the existing capacity at the Kharkhoda facility currently stands at 250,000 units per year. Another plant with a capacity of 250,000 units per year is under construction, Maruti Suzuki said in a regulatory filing. The carmaker currently has three manufacturing facilities in addition to the one in Kharkhoda. Two are in Haryana and one is in Gujarat.

Maruti Suzuki has two plants in the city of Kharkhoda in Haryana, one of which is operational while the other is under construction. All three plants are capable of manufacturing 250,000 vehicles a year. The carmaker has been aiming to ramp up its production capacity with an aim to further strengthen its grip in the Indian passenger vehicle market, as well as to bolster its export numbers to international markets. The new plant is expected to play a crucial role in that overall growth strategy. As the carmaker has stated, the proposed capacity of 750,000 units will be added by 2029.

Maruti Suzuki has further stated in its regulatory filing that the investment of ₹7,410 crore will be funded through internal accruals. The auto OEM also added the rationale behind setting up the third plant, stating that it is due to growth in market demand including exports. The automaker said that the additional capacity from the plant will allow it to meet the growing demand for its vehicles in the domestic market as well as abroad.

Maruti Suzuki currently has the highest share of overall passenger vehicle exports from India, at about 40 per cent, as the company claimed in December 2024.

Maruti Suzuki appoints first-ever Indian director

Meanwhile, the largest stakeholder in Maruti Suzuki, Japanese auto major Suzuki Motor Corporation (SMC), for the first time has nominated and appointed an Indian executive to the board of its wholly-owned subsidiary Maruti Suzuki signalling the growing importance of the country in its operations globally. Maruti Suzuki India on Wednesday announced the appointment of Sunil Kakkar as an Additional Director and Whole-time Director, the first instance of a homegrown Indian employee being nominated as a director on its board by parent Suzuki Motor Corporation.

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