Image Source: Autocar Professional
Suzuki Motor Corporation has unveiled a transformative roadmap for its India operations, marked by three major developments: the commencement of lithium-ion battery cell production for hybrid vehicles, a ₹700 billion investment commitment over the next five to six years, and the elevation of its Gujarat plant into a global manufacturing hub with a capacity of one million cars annually. These announcements, made during Prime Minister Narendra Modi’s visit to the Hansalpur facility on August 26, 2025, signal Suzuki’s deepening strategic alignment with India’s green mobility and manufacturing ambitions.
Key Highlights from Suzuki’s India Expansion Strategy
Lithium-ion battery cell production has officially begun at the TDSG plant in Gujarat, a joint venture between Toshiba, Denso, and Suzuki
Suzuki will invest ₹700 billion in India over the next 5–6 years, targeting capacity expansion, electrification, and carbon neutrality
The Hansalpur plant in Gujarat is now equipped to produce 1 million cars annually, positioning it as a cornerstone of Suzuki’s global supply chain
Lithium-Ion Battery Milestone: Localizing the EV Value Chain
Strategic Importance
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The start of lithium-ion battery cell production marks a critical step in localizing India’s EV ecosystem
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The facility will supply hybrid battery electrodes for Suzuki’s upcoming range of electrified vehicles, including the e-Vitara and hybrid variants of existing models
Technology and Capacity
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The TDSG plant will manufacture over 80 percent of the battery value chain domestically, reducing import dependence and enhancing cost efficiency
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The plant is expected to scale up to support full battery packs for both hybrid and battery electric vehicles (BEVs) by FY27
Policy Alignment
The milestone supports India’s Make in India and Aatmanirbhar Bharat initiatives, while also aligning with the FAME III policy framework for EV adoption
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₹700 Billion Investment Commitment: Scaling for the Future
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Suzuki’s investment will be spread across three verticals:
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₹320 billion for expanding Maruti Suzuki’s production capacity to 4 million units by 2030
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₹232.4 billion for developing new models, including hybrids and BEVs
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₹150 billion for carbon-neutral initiatives, quality upgrades, and operational efficiency
The capital will fund two new greenfield plants—one in Kharkhoda, Haryana, and another in Gujarat—along with R&D centers focused on electrification and software-defined vehicles
Suzuki aims to reclaim a 50 percent market share in India’s passenger vehicle segment by the end of the decade, up from its current 42 percent
Gujarat Plant: A Global Production Hub
Capacity Expansion
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The Hansalpur facility now boasts an annual production capacity of 1 million units, following the commissioning of its fourth assembly line
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Combined with upcoming expansions, Suzuki’s total Gujarat capacity will reach 2 million units by 2030
Export Strategy
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The plant will serve as the export base for Suzuki’s first global BEV, the e-Vitara, which will be shipped to over 100 countries including Japan and Europe
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Dedicated railway sidings and proximity to Mundra Port enable efficient logistics and multimodal transport
Employment and Ecosystem Impact
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The expansion is expected to generate over 15,000 direct jobs and catalyze growth in the auto component sector across North Gujarat
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Suzuki’s supplier network in the Mandal Becharaji Special Investment Region (SIR) will benefit from increased volumes and technology transfer
Conclusion
Suzuki Motor’s latest announcements mark a watershed moment in India’s automotive evolution. With lithium-ion battery production underway, a ₹700 billion investment pipeline, and a globally integrated Gujarat plant, the company is not just expanding its footprint—it is redefining India’s role in the future of mobility. As the country accelerates toward green and connected transportation, Suzuki’s strategic bets are poised to deliver long-term dividends for both the company and the broader economy.
Sources: Times Now, CNBC-TV182, News24, India TV News4, Autocar Professional, DeshGujarat6, The Hindu BusinessLine
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