Suzuki Motor Corporation (SMC) will most likely start building its second assembling facility in Gujarat by 2021. The Japanese auto giant plans to invest Rs 9,000 crore for constructing a new manufacturing plant at Vithalapur, some 35 km from its existing plant in Hansalpur near Mehsana.
The possession of land for the new facility at Vithalapur will soon be completed. “Once the construction of the third assembly line at Hansalpur is completed, the company will start building the new plant by 2021,” according to a source.
Almost 60km from Ahmedabad, the company has commissioned the first assembly line with 2.5 lakh units capacity at its Hansalpur factory. The second and third assembly facilities at the site with a capacity of 2.5 lakh units each are expected to be set up by early 2019 and 2020, respectively. Altogether the three assembly lines would increase the total production capacity to almost 7.5 lakh cars per annum.
“The Vithalapur plant will also have three assembly lines with each having 2.5 lakh units capacity. For each line, the investment is estimated to be Rs 3,000 crore,” according to sources. So far in Gujarat, Suzuki Motor Corporation has infused approx Rs 15,000 crore.
The corporation’s Hansalpur plant presently produces the premium hatchback cars – Maruti Suzuki Swift and Maruti Suzuki Baleno. SMC aims to increase its total production capacity to almost 15 lakh cars with its latest manufacturing facility in Vithalapur.