Shandong Lingong Construction Machinery (SDLG) has invested ₹300 crore to establish a new manufacturing facility in Gandhidham, Gujarat, as part of its plans to expand local production, increase sourcing from Indian suppliers and strengthen its presence in the Indian construction equipment market. The facility, inaugurated by SDLG’s India operations, will manufacture wheel loaders, excavators and motor graders. The company plans to scale production in phases, with the plant expected to reach an annual capacity of up to 3,000 units based on market demand.
The new facility will also support SDLG’s localisation strategy by increasing the use of components and services from Indian suppliers. The company plans to develop a wider supplier network in the country as production increases. Alongside the plant inauguration, SDLG India has introduced 10 new construction equipment products across diesel and electric excavators, wheel loaders and motor graders. The new range is aimed at customers in infrastructure, construction, mining, quarrying, road development, railways and port projects. The new diesel excavators feature upgraded hydraulic systems, operator controls and safety features. SDLG has also introduced electric equipment for applications where lower-emission machinery is required.
Yang Xiaozhou, Head of Overseas Factory Projects at SDLG, said, “India is entering a significant phase of growth in the construction equipment industry, with the market on track to become the world’s second-largest by 2030, according to the Indian Construction Equipment Manufacturers’ Association (ICEMA). This presents a significant opportunity for SDLG to deepen its presence in the country.”
The Gujarat facility will be developed in phases, allowing SDLG India to align production with market requirements. The company currently offers hydraulic excavators, wheel loaders and motor graders for a range of construction and industrial applications.
The investment comes as India continues to expand infrastructure development and construction activity. SDLG expects the new facility to improve its ability to serve domestic customers while creating opportunities for greater local sourcing. SDLG established full-fledged operations in India in 2026 as part of its strategy to expand its presence in the country. Through the new manufacturing facility, the company plans to strengthen its local production base and build a larger supplier ecosystem.
