Gujarat and Maruti Suzuki Finalise Rs 35,000 Crore Investment for Khoraj Plant

By Jony Shekhawat | Published Date : January 18, 2026

Maruti Suzuki continues to strengthen its commercial vehicle portfolio with reliable and low-cost models for small businesses in India.

Maruti Suzuki and the Gujarat government made an agreement in Gandhinagar. The Maruti Suzuki will invest around Rs. 35000 crore for this plant, ANI reports. Under this agreement, Maruti Suzuki will add a new plant in Khoraj. This is the second important step of Maruti Suzuki that will help them to expand their production rapidly. This new plant will be capable of fulfilling increasing demands.

Agreement Signed in Presence of State Leaders

Table of Contents

1. Agreement Signed in Presence of State Leaders

2. Plant Capacity and Employment Impact

3. Land to Be Provided by GIDC

4. Growth of Maruti Suzuki in India

5. Role of Small Commercial Vehicles

6. Record Production and Future Plans

Also Read: Tata Technologies Records Revenue Uptick on Strong Services Business

The investment letter handover ceremony took place in Gandhinagar. Gujarat Chief Minister Bhupendra Patel was present at the event. Maruti Suzuki Managing Director Hitachi Takeuchi also attended the ceremony. Officials from both sides came together to formalise the deal.

Deputy Chief Minister Harsh Sanghvi was also present. From the company side, Maruti Suzuki Whole Time Director and Executive Committee Member Sunil Kakkar attended the programme. The ceremony confirmed the government’s support for the project and the company’s long-term commitment to Gujarat.

Plant Capacity and Employment Impact

The new Khoraj facility will be built with an annual production capacity of 10 lakh vehicles. The company expects the plant to generate around 12,000 jobs once it becomes fully operational. These jobs will include direct roles at the plant and indirect opportunities across the supply chain.

The plant will also help improve production planning for different vehicle segments. Over time, it can support models linked to Maruti Suzuki mini trucks, which are widely used by small traders and transport operators.

Land to Be Provided by GIDC

Around 1,750 acres of land is alloted for this project. The Gujarat Industrial Development Corporation will provide this area for manufacturing new Maruti Suzuki commercial vehicles. There will be testing zones also in this area and they can be expanded in future if required.

Gujarat has already become an important location for auto manufacturing. With better infrastructure and policy support, the state continues to attract big investments. The Khoraj plant is expected to add further value to the local industrial ecosystem.

Growth of Maruti Suzuki in India

Maruti Suzuki began operations in India in 1983 with its first manufacturing plant in Gurugram, Haryana. Later, the company expanded with facilities in Manesar and Kharkhoda. In recent years, Maruti Suzuki also brought its Gujarat plant fully under its operational control.

At present, the company produces 17 models and more than 650 variants across its plants. Along with passenger vehicles, Maruti Suzuki has also built a presence in utility-focused models. Vehicles like the Maruti Suzuki Eeco cargo are commonly used for daily movement.

Role of Small Commercial Vehicles

Small business owners across India depend on compact and affordable vehicles. Products such as Maruti Suzuki Super Carry have found steady demand in this space. These vehicles are part of the growing small commercial segment, where ease of driving and low running cost matter most.

Record Production and Future Plans

In FY2025, Maruti Suzuki manufactured more than 22.55 lakh vehicles. This production was the highest achievement of Maruti Suzuki till now. It was the second year in a row that Maruti Suzuki crossed the 20 lakh production level. These figures include vehicles sold in the Indian market, units sent for export and vehicles supplied as OEM orders.
The Khoraj plant is the most important plant for increasing its annual vehicle production. Maruti Suzuki planned to achieve a target of 4 million vehicles annually.

Also Read: Atul Auto Plans to Expand Electric 3-Wheeler Business Through New Subsidiary

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Frequently Asked Questions on Commercial Vehicles

Q1. Which Maruti Suzuki commercial vehicle is best for small businesses?

Ans. Maruti Suzuki Super Carry is one of the most preferred options for small businesses. It is easy to drive, offers good mileage, and is suitable for city deliveries.

Q2. Is Maruti Suzuki Eeco cargo good for goods transport?

Ans. Yes, Maruti Suzuki Eeco cargo is widely used for light goods movement. It offers a spacious cargo area and low maintenance costs.

Q3. What type of fuel options are available in Maruti Suzuki commercial vehicles?

Ans. Maruti Suzuki commercial vehicles are available in petrol and CNG options, depending on the model and variant.

Q4. Are Maruti Suzuki mini trucks suitable for daily city use?

Ans. Yes, Maruti Suzuki mini trucks are designed for daily city operations. They are compact, fuel-efficient, and easy to maintain.

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