Escorts Kubota has broken ground on a Rs 2,000 crore plant in Uttar Pradesh’s YEIDA zone, expanding tractor and equipment output.

The ground-breaking deal took place on August 19 at Sector 10 in Gautam Buddha Nagar, inside the Yamuna Expressway Industrial Development Authority zone, better known as YEIDA.

The project covers 154 acres and carries a total outlay of over Rs 2,000 crore. Like most large industrial builds, it will come up in phases rather than all at once.

The first phase alone will add capacity for up to 60,000 tractors and 15,000 units of construction equipment every year, along with the infrastructure needed to support that scale.

Once every phase is complete, the company expects this site to rank among the largest facilities anywhere in the Kubota Group’s global network. Location played a big part in the decision.

The plant sits close to the Yamuna Expressway and near the upcoming Noida International Airport at Jewar, which is being developed as a major cargo hub for the region.

That combination of road and air connectivity should help with both domestic distribution and exports down the line, while also keeping the plant close to the supplier base around the National Capital Region.

This isn’t Escorts Kubota’s first announcement in this space either. Back in November 2025, YEIDA had allotted around 200 acres to the company for a larger, Rs 4,500 crore facility.

What’s come up now is a revised and phased version of that plan, starting smaller at 154 acres and just over Rs 2,000 crore, with room to scale further as later phases roll out.

The company will fund the new plant through a mix of internal accruals and proceeds from an earlier preferential share issue to Kubota Corporation, its Japanese parent.

Kubota Corporation CEO Shingo Hanada said the investment reflects how central India has become to the group’s growth plans, calling out the country’s growing role as both a market and a manufacturing base.

Escorts Kubota currently produces around 1,70,000 tractors and 10,000 construction equipment units annually, a base this new plant is set to expand meaningfully.

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