Maruti's Next Big Bet: The ₹4,960 Cr Khoraj Expansion

Maruti Suzuki India has announced an investment of ₹4,960 crore to establish a second car manufacturing facility at Khoraj in Ahmedabad district, Gujarat.

Located approximately 21 km from the Sanand automobile hub, the new plant will have an annual production capacity of 10 lakh vehicles, further strengthening Maruti Suzuki’s manufacturing footprint in the state. The company’s Board of Directors has approved the acquisition of land from the Gujarat Industrial Development Corporation (GIDC) along with related development activities.

Maruti Suzuki currently operates a manufacturing facility at Hansalpur, Ahmedabad, commissioned in 2017. The plant produces models such as the Baleno and Dzire across three production lines, with a fourth line dedicated to electric vehicles planned for commissioning in FY 2026–27.

With the addition of the new Khoraj facility, Maruti Suzuki’s cumulative investment in Gujarat will exceed ₹25,000 crore. The expansion underscores the company’s commitment to meeting growing domestic demand while reinforcing Gujarat’s position as a major automotive manufacturing hub in India.

News by Rahul Yelligetti.