Mercedes-Benz Scales Up Pune Plant, Eyes Worldwide Exports

Mercedes-Benz, the German luxury carmaker, is strengthening its India presence with a plan to export cars from its Pune facility to international markets. Union Road Transport and Highways Minister Nitin Gadkari revealed the development at the Auto Retail Conclave organized by FADA, citing discussions with the company’s top leadership.

Mercedes-Benz in India: Growing Global Confidence

Currently, the Pune plant assembles cars and SUVs with a capacity of nearly 20,000 units annually. So far, the ₹3,000 crore investment by Mercedes-Benz has focused mainly on meeting domestic demand. However, with global leadership acknowledging the quality of Indian production, the company is now looking outward.

India as a Priority Market

At the Munich auto show, Mathias Geisen, board member of Mercedes-Benz Group AG, reiterated India’s importance, calling it a “priority market”. He confirmed that the company’s investment and local manufacturing expansion plans remain intact, signaling long-term confidence.

Boost From India–EU Free Trade Talks

This strategy aligns with ongoing India–EU free trade agreement negotiations, which could potentially lower import duties on European cars. A favorable deal would not only make imports cheaper but also enhance India’s attractiveness as a manufacturing and export hub.

India’s Automotive Export Potential

Gadkari emphasized that Mercedes-Benz is not alone in this approach. Several global auto giants are increasingly manufacturing in India, not just for domestic sales but also for exports to global markets. This shift underscores India’s growing relevance in the global automotive supply chain.

Read More: Mercedes, BMW, JLR, Audi, Volvo Slash Prices by Up to ₹30 Lakh After GST 2.0 Reforms.

Conclusion

Mercedes-Benz’s plan to export India made vehicles globally marks a significant milestone for the country’s automobile industry. Backed by strong local production quality and potential policy support, India is set to become an even stronger hub for premium car manufacturing and exports.

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