Source: TAFE Motors

“Our partnership with DEUTZ, one of Europe’s premier engine manufacturers and a pioneer in diesel engine technology brings together the precision of German engineering and the strength of India’s manufacturing capabilities.” - Mallika Srinivasan, Chairman & Managing Director - TAFE

July 2026 : TAFE Motors and Tractors Limited (TMTL) inaugurated a DEUTZ engine production facility at its existing plant in Alwar. The launch marks the first-ever manufacturing collaboration between TAFE Motors and Germany’s DEUTZ AG, bringing 160 years of world-renowned German engineering directly to Rajasthan.

Inaugurated by Colonel Rajyavardhan Singh Rathore, Hon’ble Minister for Industry & Commerce, Government of Rajasthan, the plant will produce DEUTZ-licensed 2.2L and 2.9L engines for both domestic and global markets. Equipped with end-to-end Industry 4.0 technology, smart robotics, and an impressive 40% female workforce, the facility boasts an annual capacity of 35,000 engines and 50,000 sub-assemblies.

Lauding the venture, Minister Rajyavardhan Singh Rathore remarked, “TAFE’s new production facility at Alwar is a strong endorsement of Rajasthan’s emergence as a preferred manufacturing destination and exemplifies the vision of ‘Made in Rajasthan for the World’ while contributing to the national goal of an Aatmanirbhar Bharat. I reaffirm the state’s commitment to fostering a business-friendly ecosystem through progressive policies and ease of doing business. I also commend TAFE’s Chairman & Managing Director, Mallika Srinivasan for her visionary leadership and contributions to nation-building, and I appreciate the commitment of TAFE’s workforce, supply chain partners, and next-generation leadership in driving innovation, skilling, and empowering India’s farmers through world-class technology and manufacturing excellence.”

The alliance reinforces India’s growing prominence in high-tech global supply chains.

Mallika Srinivasan, Chairman & Managing Director, TAFE, stated, “Today marks a defining milestone in TAFE’s growth journey. TAFE and the Amalgamations Group, together are one of India’s largest engine manufacturing ecosystems, with a production capacity projected to expand from 4,00,000 to 5,50,000 engines annually by 2030.”

She added, “Our partnership with DEUTZ, one of Europe’s premier engine manufacturers and a pioneer in diesel engine technology brings together the precision of German engineering and the strength of India’s manufacturing capabilities. This venture will also serve as a growth catalyst for the allied engineering industries in Rajasthan, further strengthening the state’s position as a manufacturing hub. We extend our gratitude to the Government of Rajasthan for the continued support in enabling this landmark initiative.”

Dr. Sebastian Schulte, Chief Executive Officer, Deutz, highlighted the teamwork behind the project: “The inauguration of the new DEUTZ engine assembly line in Alwar marks an important milestone in our cooperation with TAFE. It reflects the commitment and strong collaboration of both teams in turning our shared vision into industrial reality.”

With complete digital traceability and high automation, the plant positions TAFE Motors and DEUTZ to serve dynamic agricultural, construction, and industrial markets worldwide.

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