Mahindra to Set Up Largest Auto and Tractor Manufacturing Facility in Maharashtra

  • Articles
  • Feb 09,26
Mahindra Group will invest Rs 150 billion to develop its largest integrated auto and tractor manufacturing facility in Nagpur, strengthening Maharashtra’s manufacturing ecosystem.
Mahindra to Set Up Largest Auto and Tractor Manufacturing Facility in Maharashtra

Mahindra Group has announced plans to establish its largest integrated manufacturing facility for automobiles and tractors in Nagpur, Maharashtra, marking a major milestone in its long-term growth strategy. The announcement was made at Advantage Vidarbha, a three-day flagship event highlighting Vidarbha as an emerging industrial growth hub.

The state-of-the-art facility will be developed over 1,500 acres in Vidarbha, along with a 150-acre supplier park in Sambhajinagar.

Once fully operational, the facility will have an annual production capacity of over five lakh vehicles and one lakh tractors, making it Mahindra’s largest integrated manufacturing footprint in India.

Vidarbha offers strong strategic advantages, including connectivity through the Samruddhi Expressway, robust rail infrastructure, access to key domestic and export markets, and a growing industrial ecosystem. The supplier park at Sambhajinagar will strengthen the manufacturing value chain through closer collaboration with partners, improved logistics efficiency and enhanced localisation. It will supply components to the new Nagpur facility as well as Mahindra’s existing plants at Chakan and Nashik.

The automotive facility will support Mahindra Auto’s next-generation platforms, including the NU_IQ architecture, and will be capable of manufacturing vehicles across multiple powertrains—ICE, EV and future technologies—for domestic and global markets. Equipped with advanced automation and digital manufacturing systems, the plant reflects Mahindra’s focus on innovation, quality and sustainability. The tractor manufacturing unit will further strengthen Mahindra’s leadership in the farm equipment segment, serving domestic demand and key export markets.

In addition, Mahindra will acquire land in the Igatpuri–Nashik region to expand current product and engine capacities and to support the growth of its Advanced Technology business.

Through these initiatives, Mahindra is committing a total investment of ?150 billion over a 10-year period in Maharashtra and will acquire over 2,000 acres across three locations to strengthen its manufacturing footprint.

Devendra Fadnavis, Hon’ble Chief Minister of Maharashtra, said that Mahindra’s decision to set up its largest integrated auto and tractor manufacturing facility in the state reflects Maharashtra’s robust industrial ecosystem and progressive policy framework. He noted that the investment will generate employment, accelerate regional development in Vidarbha and surrounding areas, and reinforce Maharashtra’s position as a leading manufacturing hub.

Rajesh Jejurikar, Executive Director & CEO, Auto and Farm Sector, Mahindra & Mahindra Ltd, said the facility marks a significant step in Mahindra’s manufacturing journey. Designed for next-generation vehicles and tractors, it combines scale, flexibility and advanced technology within a single integrated footprint and strengthens the company’s commitment to ‘Make in India for the World’.

With this manufacturing complex, Mahindra continues to advance its vision for the future of mobility and farm mechanisation, driven by innovation, sustainability and global competitiveness, while contributing to India’s industrial growth.

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