Tata Motors, a leading manufacturer of passenger and commercial vehicles, has proposed an initial investment of ₹914 crore to set up a new vehicle manufacturing project in Tamil Nadu.
The company officially broke ground for the new factory on September 28 at Panapakkam in Ranipet District, located approximately 85 km from Chennai.
The upcoming greenfield facility will focus on the production of high-end cars and SUVs, both under the Tata Motors brand and its luxury division, Jaguar Land Rover (JLR).
As per the agreement signed with the Tamil Nadu government, Tata Motors has committed to an overall investment of ₹9,000 crore for this ambitious project, which will be executed in phases over several years.
In the first phase, Tata Motors plans to invest ₹914 crore to construct a manufacturing plant over a built-up area of 52,000 square meters, out of a total land space of 19,02,022.5 square meters, as per the documents filed to seek environmental clearance. The construction of the proposed factory is expected to take approximately 15 months and the new factory will employ about 1,500 employees.
The company had stated that the new facility will have an annual production capacity of more than 2.5 lakh units, with production ramping up over the next 5 to 7 years to meet this target. The new facility is expected to serve as a central hub for the production of next-generation cars and SUVs, including electric and luxury vehicle models.
In addition to the new plant, Tata Motors is focused on building a local supplier base in the region, aimed at creating a localised manufacturing ecosystem and improving supply chain efficiency.
At a recent event organized by EEPC India in Chennai, JLR officials offered businesses the opportunity to engage directly with the company, discussing its procurement policies, technological innovations, and sustainability efforts.
JLR operates globally with key facilities in the UK, the US, India, China, and other regions. The company’s prestigious brand portfolio includes Range Rover, Defender, Discovery, and Jaguar. Additionally, JLR produces bespoke vehicles through its Special Vehicle Operations division and preserves the legacy of its iconic cars through its Classic Vehicles programme.
Tata Motors’ factory in Pune currently assembles the Range Rover Velar, Range Rover Evoque, Jaguar F-PACE, and Discovery Sport models.