TAFE Motors and DEUTZ Inaugurate New Engine Manufacturing Plant in Rajasthan

Alwar, Rajasthan: New Alwar facility will manufacture 2.2L and 2.9L DEUTZ-licensed engines for Indian and global markets. TAFE Motors and Tractors Limited has officially started operations at its new engine manufacturing assembly line in Alwar, Rajasthan. The facility has been established in collaboration with German engine manufacturer DEUTZ AG, marking the first manufacturing joint venture between the two companies.

Inauguration by Rajyavardhan Singh Rathore 

The new plant was inaugurated by Rajasthan's Minister for Industry and Commerce, Rajyavardhan Singh Rathore, during a formal ceremony held at the facility.

Under a regional licensing agreement, the plant will manufacture DEUTZ-licensed 2.2-litre and 2.9-litre internal combustion engines. These engines are intended for both domestic and international markets and will cater to sectors such as agriculture, industrial equipment, and logistics.

According to the company, the Alwar facility has been designed with an annual production capacity of 35,000 fully assembled engines along with 50,000 engine sub-assembly components.

TAFE Targets Higher Engine Production by 2030

The new project is expected to strengthen TAFE Motors' manufacturing capabilities while supporting the growing demand for advanced diesel engines across multiple industries.

Looking ahead, TAFE and the Amalgamations Group aim to significantly expand their overall engine manufacturing capacity. The companies plan to increase annual production from the current 4,00,000 engines to 5,50,000 engines by 2030, further strengthening their position in the engine manufacturing sector.

This strategic partnership with DEUTZ is expected to enhance technology transfer, improve manufacturing capabilities, and support both Indian and export markets with globally compliant engine solutions.

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