Indian Economy News

Escorts Kubota announces US$ 210 million investment on new plant in Uttar Pradesh

  • IBEF
  • August 20, 2026

Escorts Kubota has announced an investment of Rs. 2,000 crore (US$ 209.77 million) to establish a new manufacturing plant in the Yamuna Expressway Industrial Development Authority (YEIDA) industrial area, Uttar Pradesh. The facility will be developed across 154 acres in Sector 10, Gautam Buddha Nagar, and is expected to be one of the largest manufacturing facilities of Kubota Group globally. The plant will be developed in phases and will manufacture tractors, farm implements, construction equipment and engines for domestic and international markets. The first phase is expected to support annual capacity expansion of up to 60,000 tractors and 15,000 construction equipment units, along with supporting infrastructure and allied facilities. The project will be funded through proceeds from the earlier preferential issue of shares to Kubota Corporation and internal accruals. Escorts Kubota currently has manufacturing capacity of approximately 1,70,000 tractors and 10,000 construction equipment units per annum.

The investment 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 establish the country as a global hub for affordable manufacturing. The new facility is expected to strengthen India’s role in Kubota’s global manufacturing and engineering network while serving farmers and construction contractors in domestic and international markets. The integrated manufacturing campus will include machining, assembly, testing, engine production and a mother warehouse for spare parts at a single location. The facility will incorporate the Kubota production system, automation, digital quality control, energy-efficient utilities and safety standards. The investment is expected to strengthen domestic manufacturing capabilities in tractors and construction equipment while supporting the expansion of India’s agricultural and construction equipment ecosystem and enhancing the country’s position as a global manufacturing base.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

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