Mahindra to Build Largest Integrated Auto and Tractor Plant in Maharashtra

12 Feb 2026 CW Team

The facility will be developed across an area of 1500 acres in Vidarbha and will be complemented by a one hundred and fifty acre supplier park in Sambhajinagar to strengthen the value chain. Once fully operational the plant is expected to deliver an annual production capacity of over half a million (mn) vehicles and one tenth of a million (mn) tractors, making it the group's largest integrated manufacturing footprint in the country. The supplier park will serve both the Nagpur complex and Mahindra's existing facilities at Chakan and Nashik.

The Vidarbha location offers strategic advantages including enhanced road connectivity via the Samruddhi Expressway, robust rail links and ready access to domestic and export markets, which will improve logistics efficiency and localisation. Mahindra will also acquire land in the Igatpuri Nashik region to expand product and engine capacities and to support growth of its Advanced Technology business. The acquisitions are intended to provide flexibility for future expansion and deeper integration across sites.

The automotive facility will support next generation platforms including the NU_IQ architecture and will be capable of manufacturing vehicles across internal combustion engine, electric and emerging powertrains for domestic and global markets. The plant will feature advanced automation and digital manufacturing systems and is designed with a focus on quality and sustainability while reinforcing Mahindra's leadership in farm equipment. The investment is expected to generate employment and to accelerate regional development in Vidarbha and surrounding areas.

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Mahindra Group has announced plans to establish its largest integrated manufacturing facility for automobiles and tractors in Nagpur, Maharashtra, as part of a long-term growth strategy unveiled at Advantage Vidarbha. The company has committed an investment of Rs 150 billion (bn) over a ten year period and anticipates that the Nagpur complex will commence production in 2028. The announcement places Vidarbha at the centre of Mahindra's expanded manufacturing footprint. The facility will be developed across an area of 1500 acres in Vidarbha and will be complemented by a one hundred and fifty acre supplier park in Sambhajinagar to strengthen the value chain. Once fully operational the plant is expected to deliver an annual production capacity of over half a million (mn) vehicles and one tenth of a million (mn) tractors, making it the group's largest integrated manufacturing footprint in the country. The supplier park will serve both the Nagpur complex and Mahindra's existing facilities at Chakan and Nashik. The Vidarbha location offers strategic advantages including enhanced road connectivity via the Samruddhi Expressway, robust rail links and ready access to domestic and export markets, which will improve logistics efficiency and localisation. Mahindra will also acquire land in the Igatpuri Nashik region to expand product and engine capacities and to support growth of its Advanced Technology business. The acquisitions are intended to provide flexibility for future expansion and deeper integration across sites. The automotive facility will support next generation platforms including the NU_IQ architecture and will be capable of manufacturing vehicles across internal combustion engine, electric and emerging powertrains for domestic and global markets. The plant will feature advanced automation and digital manufacturing systems and is designed with a focus on quality and sustainability while reinforcing Mahindra's leadership in farm equipment. The investment is expected to generate employment and to accelerate regional development in Vidarbha and surrounding areas.

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