Escorts Kubota to Establish a ₹4,500 Crore Tractor Manufacturing Plant

The Yamuna Expressway Industrial Development Authority (YEIDA) has allotted about 200 acres of land in Sector-10 for Escorts Kubota Limited, as per news reports. The company will use the site to set up a tractor manufacturing unit.

Investment Details and Phases

As per reports, Escorts Kubota plans to invest ₹4,500 crore in the project. The development will take place in phases. In the first phase, ₹2,000 crore will be spent on setting up key facilities. The next phase will be decided depending on demand and utilisation.

The project is expected to generate around 4,000 jobs. Employment will be created gradually as the plant becomes operational and expands in later phases.

The first phase will include a tractor plant, a commercial equipment unit, and allied facilities. Once the operations of this phase stabilise, the company may scale up production further in the second phase.

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Agreement with State Government

As per reports, on August 17, 2024, Escorts Kubota signed a Memorandum of Understanding with the Uttar Pradesh government. The MoU covered the setting up of the tractor facility along the Yamuna Expressway corridor.

Apart from meeting domestic requirements, the new plant will also supply to international markets. Escorts Kubota has also planned shared services from India for Kubota’s global research and development operations.

Escorts Kubota was established in 2019 as a joint venture between Escorts in India and Japan’s Kubota Corporation. The partnership manufactures tractors, farm machinery, construction equipment, and engines.

Escorts Kubota Share Price Performance

As of August 19, 2025, 11:31 AM, Escorts Kubota share price was trading at ₹3,592, a 0.88% decrease from the previous closing price.

Conclusion

The upcoming ₹4,500 crore project on the Yamuna Expressway is a major manufacturing investment. The facility will support domestic demand, create jobs, and contribute to exports.

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