City-based Jupiter Wagons on Tuesday announced an investment of ₹2,500 crore to set up a new plant in Odisha which will expand production capacity of forged wheelsets to 100,000 per annum from the present capacity of 20,000.

The new plant is expected to be operational by CY2027.

“Once completed, it will serve both domestic and international markets, with approximately 50 per cent of the production capacity dedicated to exports, primarily to its partner Tatravagonka A.S and other European players,” the company said in a statement.

“This move aligns with the company’s strategy to support the ‘Make in India’ initiative, boosting India’s manufacturing capabilities and strengthening the company’s role in the global supply chain,” the statement added.

The company has also renamed its subsidiary Bonatrans India Private Limited to Jupiter Tatravagonka Railwheel Factory Private Limited. Bonatrans was earlier acquired by Jupiter Wagons for an investment of ₹271 crore and has its current plant at Aurangabad with a production capacity of 20,000 wheelsets.

The company also announced a partnership with German engineering firm Schuler Pressen GmbH, for the supply and installation of a fully integrated forged wheel and axle production line.

“By establishing this integrated forging line, Jupiter Wagons aims to streamline production processes, ensure superior quality control, and secure the timely availability of critical components for its wagon manufacturing operations. This will strategically elevate the company’s business model and further strengthen its margin profile,” it said.

“This latest investment underscores our vision of innovation and excellence as we now aim to deliver world-class products to global markets,” said Vivek Lohia, managing director of Jupiter Wagons.

Jupiter Wagons has manufacturing facilities in Calcutta, Jamshedpur, Indore, Jabalpur and Aurangabad with backward integration to its foundry operations.