Escorts Kubota Breaks Ground on ₹2,000 Crore Greenfield Manufacturing Plant in Uttar Pradesh

BY ADMIN • FILED 19 Aug 2026, 3:34 PM

Escorts Kubota Limited has taken a major step in its long-term capacity expansion strategy by conducting the groundbreaking ceremony for a new greenfield manufacturing plant at Sector 10, Gautam Buddha Nagar, in the Yamuna Expressway Industrial Development Authority (YEIDA) region of Uttar Pradesh.

The new facility will be developed across a 154-acre land parcel and is planned to be constructed in multiple phases. The company has indicated a total investment outlay of more than ₹2,000 crore for the project. Once all phases are completed, the facility is expected to become one of the largest manufacturing sites within the Kubota Group globally.

New Plant to Manufacture Tractors, Construction Equipment and Engines

The upcoming manufacturing campus will produce a range of products, including tractors, farm implements, construction equipment and engines. The facility is being designed to serve both the Indian market and global export markets.

The first phase is planned to add annual capacity of up to 60,000 tractors and 15,000 construction equipment units, along with supporting infrastructure and allied facilities.

Escorts Kubota said the project will be funded through proceeds from its earlier preferential issue of shares to Kubota Corporation as well as internal accruals.

Existing Capacity of Escorts Kubota

The new facility represents a significant expansion over Escorts Kubota’s existing manufacturing footprint. The company currently has manufacturing capacity of approximately 1,70,000 tractors and 10,000 construction equipment units per year.

The additional capacity from the first phase could therefore substantially increase the company’s production capabilities, while subsequent phases are expected to further expand the manufacturing footprint.

Strategic Location Near Noida International Airport

The new plant is located near the Yamuna Expressway and the Noida International Airport at Jewar, providing access to road and air connectivity for domestic distribution and exports.

The location also provides proximity to the engineering and supplier ecosystem of the National Capital Region (NCR). According to the company, these factors are expected to support pan-India distribution as well as international exports.

The land for the project was allotted by YEIDA following a Letter of Intent with the Government of Uttar Pradesh.

Integrated Manufacturing Campus

Escorts Kubota plans to develop the facility as an integrated manufacturing campus. Across multiple phases, the site is expected to bring together machining, assembly, testing, engine manufacturing and a mother warehouse for spare parts.

The company also plans to incorporate the Kubota Production System, automation and digital quality control into the facility from the beginning. Energy-efficient utilities and stringent safety standards are also planned as part of the manufacturing campus.

India Emerging as a Global Manufacturing Hub for Kubota

The investment also reflects the increasing strategic importance of India within Kubota’s global growth plans. The project is aligned with Kubota Corporation’s Mid-Term Business Plan 2030, which identifies India as one of the group’s growth drivers and aims to develop India as a global hub for affordable manufacturing.

Shingo Hanada, President and Representative Director and CEO of Kubota Corporation, said India is one of the world’s largest and fastest-growing tractor markets and plays an important role in Kubota’s growth strategy through 2030.

He also highlighted the company’s vision of India evolving from being primarily a market for Kubota to becoming a manufacturing and engineering hub for the global group.

Management Commentary

Nikhil Nanda, Chairman and Managing Director of Escorts Kubota, described the project as one of the company’s largest investments in its own manufacturing capacity. He said the new facility is expected to serve farmers and construction contractors in India as well as customers in global markets, while supporting India’s position as a manufacturing hub.

Akira Kato, Deputy Managing Director of Escorts Kubota, said the integrated campus will significantly increase capacity from current levels. He also highlighted the planned use of automation, digital quality control, the Kubota Production System, energy-efficient utilities and enhanced safety standards.

What the ₹2,000 Crore Investment Means for Escorts Kubota

The greenfield plant marks an important long-term capacity expansion for Escorts Kubota. The ₹2,000 crore-plus investment, combined with the first-phase capacity addition of up to 60,000 tractors and 15,000 construction equipment units annually, could strengthen the company’s ability to address growing domestic and international demand.

The project also provides the company with a larger manufacturing base for tractors, agricultural machinery, construction equipment and engines. With further phases planned, the eventual capacity expansion could be considerably larger than the initial Phase 1 addition.

Summary:

Investment: More than ₹2,000 crore across multiple phases.
Land: 154 acres at Sector 10, YEIDA, Gautam Buddha Nagar, Uttar Pradesh.
Phase 1 capacity: Up to 60,000 tractors and 15,000 construction equipment units annually.
Products: Tractors, farm implements, construction equipment and engines.
Existing capacity: Approximately 1,70,000 tractors and 10,000 construction equipment units annually.
Location advantage: Near Yamuna Expressway and Noida International Airport at Jewar.
Funding: Preferential issue proceeds from Kubota Corporation and internal accruals.
Strategic objective: Strengthen India as a manufacturing and engineering hub for Kubota.
Technology: Kubota Production System, automation and digital quality control.
Long-term plan: Development of the facility in multiple phases.

About Escorts Kubota

Escorts Kubota Limited is an engineering company focused on agricultural and construction equipment. Its product portfolio includes the Farmtrac, Powertrac and Kubota tractor brands, along with Farmpower agricultural machinery and construction equipment. The company has more than 80 years of operating experience and serves customers in India and international markets through its dealer network.

The groundbreaking of the new Uttar Pradesh facility is a significant strategic development for Escorts Kubota. The ₹2,000 crore-plus investment and phased capacity expansion indicate the company’s long-term focus on increasing manufacturing capabilities and strengthening its position in both domestic and global markets. The project’s alignment with Kubota’s 2030 strategy also underlines India’s growing importance in the group’s global manufacturing plans.

This article is based on the company’s press release dated August 19, 2026. The investment and capacity figures mentioned are indicative as provided by Escorts Kubota, and the project will be developed in multiple phases.