Maruti Suzuki India Ltd. revealed on March 26 that its board has approved the establishment of a third manufacturing facility at Kharkhoda, with an investment of ₹7,410 crore. The new plant, which will have an annual capacity of up to 2.5 lakh vehicles, is expected to be operational by 2029. The expansion will be funded through the company’s internal resources.
Currently, Kharkhoda houses one operational plant with a capacity of 2.5 lakh units per year, and another plant with similar capacity is under construction. Once the third unit is added, the total production capacity at the Kharkhoda site will increase to 7.5 lakh vehicles annually.
The Kharkhoda facility, located in Sonipat district of Haryana, is a recent addition to Maruti Suzuki’s production network. The first plant at this site began commercial operations in February 2025, marking the start of production for the popular Brezza model. A second plant with an annual capacity of 250,000 units is already under construction.
Kharkhoda’s strategic location offers Maruti Suzuki key operational advantages. Situated around 19 km from Sonipat and with excellent access to the Kundli-Manesar-Palwal Expressway, the site boasts world-class infrastructure and logistical benefits. The company has secured 900 acres in IMT Kharkhoda to develop this manufacturing hub, underscoring its long-term commitment to the region.
This expansion is integral to Maruti Suzuki’s broader strategy to maintain its dominance in India’s rapidly growing automotive market. The company has announced plans to invest over ₹50,000 crore by 2030-31, including ₹45,000 crore to double its annual production capacity to 4 million vehicles.
The Indian automotive industry is expected to see substantial growth, with its market size projected to reach USD 137.06 billion in 2025 and grow to USD 203.25 billion by 2030, at a compound annual growth rate (CAGR) of 8.2%. This growth is driven by rising disposable incomes, urbanization, and government initiatives that support the automotive sector.
In response to this expanding market, Maruti Suzuki is scaling up its manufacturing capabilities to meet increasing demand and work toward reclaiming a 50% market share in India. The company currently operates plants in Gurugram and Manesar, Haryana, as well as a facility in Gujarat operated by Suzuki Motor Gujarat Private Limited.
Maruti Suzuki is one of India’s leading automobile manufacturers, renowned for producing a wide range of affordable and reliable vehicles. A subsidiary of the Japanese automaker Suzuki, Maruti Suzuki has established itself as a household name in India since its inception in 1981.
The company is known for offering a diverse portfolio of cars, from compact hatchbacks to sedans and SUVs, catering to various customer preferences and budgets. Maruti Suzuki has played a significant role in making car ownership accessible to millions of Indians, with its focus on fuel efficiency, low maintenance costs, and strong after-sales service. With an extensive network of dealerships and service centers across the country, Maruti Suzuki continues to dominate the Indian automotive market while also expanding its presence globally.