21 August 2025
Noida

Escorts Kubota to Establish ₹4,500 Crore Tractor Manufacturing Hub in UP

The facility is not only intended as a manufacturing hub but also as a base for shared services that will support Kubota’s global research and development activities.

Staff Writer
19 August 2025

Escorts Kubota Limited is set to make a landmark investment of ₹4,500 crore to develop a state-of-the-art tractor manufacturing facility in Uttar Pradesh. The Yamuna Expressway Industrial Development Authority (YEIDA) has allotted approximately 190–200 acres in Sector 10, Greater Noida, following a Memorandum of Understanding (MoU) signed with the UP government in August 2024.

The project will be executed in at least two phases. In the first phase, Escorts Kubota will invest ₹2,000 crore to construct a tractor plant, a commercial equipment unit, and related infrastructure. The second phase will be rolled out depending on market demand and capacity utilization from the initial operations. When fully operational, the new hub is expected to generate around 4,000 jobs through phased hiring, providing a major boost to the state’s employment landscape.

YEIDA officials have described the project as a key endorsement of Uttar Pradesh’s industrial policies and infrastructure initiatives. The facility is not only intended as a manufacturing hub but also as a base for shared services that will support Kubota’s global research and development activities. This reflects India’s growing importance as a center for both production and innovation in the global agricultural machinery sector.

Escorts Kubota, created in 2019 through the partnership of India’s Escorts Limited and Japan’s Kubota Corporation, has been steadily expanding its footprint. With tractors, construction equipment, and engines as part of its portfolio, the company aims to strengthen its position in both the domestic and global markets. The planned greenfield project is aligned with this ambition, designed to meet rising demand while reinforcing India as a major manufacturing base.

Beyond the greenfield plant, Escorts Kubota is targeting an increase in tractor production capacity by 100,000 units over the next three to four years. This expansion is crucial given the surge in demand for agricultural machinery, as well as India’s growing role as an export hub for farm equipment.

The choice of location highlights strategic foresight. The Yamuna Expressway corridor offers strong logistical advantages, including seamless connectivity to Delhi NCR and access to upcoming logistics clusters. Such positioning ensures efficient distribution within India while enhancing export potential. For the UP government, the project signals progress toward its goal of transforming the state into a preferred destination for large-scale manufacturing investments.

With this initiative, Escorts Kubota joins a growing list of companies capitalizing on India’s favorable industrial climate, state-level incentives, and the government’s broader push to encourage domestic manufacturing under the “Make in India” banner. As the project takes shape, it is expected not only to transform Greater Noida’s industrial landscape but also to reinforce India’s role in the global tractor market.