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

2026-02-09

Mahindra & Mahindra recently announced plans to establish its largest integrated automobile and tractor manufacturing facility in Nagpur, Maharashtra, marking a major milestone in the group’s long-term manufacturing and growth strategy. The project involves a committed investment of Rs 15,000 crore over a 10-year period, with production scheduled to commence in 2028.

The state-of-the-art manufacturing complex will be developed across 1,500 acres in the Vidarbha region and will be supported by 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.

The Nagpur location offers strong strategic advantages, including seamless road connectivity through the Samruddhi Expressway, robust rail infrastructure and access to domestic and export markets. The supplier park in Sambhajinagar will strengthen the manufacturing value chain through closer collaboration with partners, improved logistics efficiency and enhanced localisation, while also supplying components to 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—internal combustion engines, electric vehicles and future technologies—for both Indian and global markets. Advanced automation and digital manufacturing systems will underpin the plant’s focus on innovation, quality and sustainability. The tractor manufacturing unit will further reinforce Mahindra’s leadership position in the farm equipment segment, addressing growing domestic demand and export opportunities.

In addition, Mahindra plans to acquire land in the Igatpuri–Nashik region to expand current product and engine capacities and support the growth of its advanced technology businesses. In total, the company will acquire more than 2,000 acres across three locations in Maharashtra to strengthen its manufacturing base.

Devendra Fadnavis, Chief Minister of Maharashtra, said the project reflects the state’s strong industrial ecosystem and policy framework, and will generate employment while accelerating regional development in Vidarbha. Rajesh Jejurikar, Executive Director and CEO, Auto and Farm Sector, Mahindra & Mahindra, said the integrated facility will bring together scale, flexibility and advanced technology, strengthening Mahindra’s commitment to ‘Make in India for the World’.