Mahindra & Mahindra Limited plans to establish an integrated manufacturing facility for automobiles and tractors in Nagpur, Maharashtra, with production scheduled to begin in 2028. The project forms part of a broader manufacturing expansion in the state and is positioned as the company’s largest integrated automotive and tractor facility by capacity.

Mahindra said the project will involve a cumulative investment of INR 150 billion over a 10-year period in Maharashtra. According to a press release issued by the company, the Nagpur facility will be developed on 1,500 acres in the Vidarbha region, supported by a 150-acre supplier park in Sambhajinagar to strengthen component sourcing and logistics integration.

Once fully operational, the Nagpur plant is expected to have an annual production capacity of more than 500,000 vehicles and 100,000 tractors. The supplier park in Sambhajinagar will supply components to the new facility as well as to Mahindra’s existing manufacturing units at Chakan and Nashik.

The automotive manufacturing unit at Nagpur will support Mahindra Auto’s next-generation platforms, including the NU_IQ architecture, and will be capable of producing vehicles across internal combustion engine, electric vehicle and future powertrain technologies for domestic and export markets. The facility will incorporate automation and digital manufacturing systems. The tractor manufacturing unit will cater to domestic demand and selected export markets.

In addition to the Nagpur project, Mahindra plans to acquire land in the Igatpuri–Nashik region to expand existing product and engine capacities and to support the growth of its Advanced Technology business. With these initiatives, the company said it will acquire more than 2,000 acres across three locations in Maharashtra to expand its manufacturing footprint.

“This facility represents a bold step forward in Mahindra’s manufacturing journey. Designed to support our next generation of vehicles and tractors, it brings together scale, flexibility and advanced technology within one integrated footprint,” said Rajesh Jejurikar, Executive Director and Chief Executive Officer, Auto and Farm Sector, Mahindra & Mahindra Limited.

Mahindra & Mahindra Limited is an Indian automotive and farm equipment manufacturer with operations spanning utility vehicles, tractors, commercial vehicles and related technologies. The company operates multiple manufacturing facilities across India and overseas and is part of the Mahindra Group, which was founded in 1945.