Maruti Suzuki Plans to Invest $4.21 Billion in New India Plant

By Ronnie Harui

Maruti Suzuki plans to invest 350 billion rupees ($4.21 billion) to build a new automobile production plant in India's Gujarat state.

The plant, expected to begin operations in fiscal year 2028-29, will have an annual production capacity of 1 million units, the automaker said Wednesday. Maruti Suzuki reached a nonbinding memorandum of understanding with the state of Gujarat for the plant's construction, the company said.

Maruti Suzuki said it will also invest INR32 billion to set up a fourth production line for electric vehicles at its wholly owned subsidiary Suzuki Motor Gujarat. The new line will boost annual production capacity at the subsidiary to 1 million units from 750,000 units, the company said.

To prepare for the expansion of the domestic automobile market, Maruti Suzuki said it plans to secure a production capacity of about 4 million units in India by fiscal year 2030-31.

Write to Ronnie Harui at ronnie.harui@wsj.com

(END) Dow Jones Newswires

January 10, 2024 05:59 ET (10:59 GMT)

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