Nagpur Set to Become Home to Mahindra’s Largest Integrated Auto and Tractor Manufacturing Hub!
Mahindra Group has announced plans to establish its largest-ever integrated automobile and tractor manufacturing complex in Nagpur, Maharashtra, a move that significantly expands the company’s long-term production and localisation strategy in India. The announcement was made at Advantage Vidarbha, a flagship industrial development forum aimed at positioning the Vidarbha region as a major manufacturing and investment destination.
The proposed manufacturing hub will be spread across approximately 1,500 acres in Vidarbha and will be supported by a dedicated 150-acre supplier park in Sambhajinagar. Once fully operational, the facility is expected to have the capacity to manufacture over 500,000 vehicles and 100,000 tractors annually, making it Mahindra’s largest integrated manufacturing site in the country. The scale of the project underlines Mahindra’s intent to consolidate automotive and farm equipment production within a single, future-ready ecosystem.
Nagpur was selected for its strategic advantages, including strong multimodal connectivity and industrial potential. Direct access via the Samruddhi Expressway, established rail infrastructure, and proximity to key domestic and export markets are expected to support efficient inbound logistics and outbound distribution. The supplier park in Sambhajinagar will play a critical role in strengthening localisation by enabling closer collaboration with component manufacturers, reducing logistics costs, and improving supply chain responsiveness. In addition to feeding the Nagpur plant, the supplier ecosystem will also support Mahindra’s existing manufacturing operations in Chakan and Nashik.
The new facility is being designed as a multi-powertrain manufacturing hub capable of producing vehicles based on Mahindra’s next-generation platforms, including the NU_IQ architecture. It will support internal combustion engine vehicles, electric vehicles, and future mobility technologies, allowing Mahindra to respond flexibly to evolving market demand and regulatory requirements. Advanced automation, digital manufacturing systems, and sustainability-focused processes are expected to be integral to the plant’s design, reflecting Mahindra’s long-term operational and environmental priorities.
Alongside vehicle manufacturing, the integrated tractor facility will further reinforce Mahindra’s leadership position in the farm equipment segment. The additional capacity is intended to cater to rising domestic demand while also supporting export growth in global agricultural markets. The combination of automotive and tractor manufacturing within a single integrated site is expected to deliver operational efficiencies and shared infrastructure benefits.
Beyond Nagpur, Mahindra has also outlined plans to acquire land in the Igatpuri–Nashik corridor to expand engine manufacturing and strengthen advanced technology operations. Overall, the group has committed an investment of approximately ₹15,000 crore over the next decade and plans to secure more than 2,000 acres across three locations in Maharashtra to support its long-term growth strategy.
Maharashtra’s Chief Minister Devendra Fadnavis described the investment as a strong endorsement of the state’s industrial ecosystem and policy framework, highlighting its potential to generate large-scale employment and accelerate regional development in Vidarbha. Mahindra leadership emphasised that the project represents a decisive step in building globally competitive manufacturing capabilities from India, combining scale, flexibility, and modern technology in a single integrated manufacturing ecosystem.
With this initiative, Mahindra is positioning Nagpur as a cornerstone of its future manufacturing roadmap, reinforcing its role in shaping India’s mobility and farm mechanisation landscape while deepening its industrial footprint in Maharashtra.
