TAFE Motors and DEUTZ Inaugurate Engine Plant in Rajasthan

The newly built facility will manufacture dual-market internal combustion engines under a regional licensing agreement.

20 Jul 2026 | 413 Views | By Dev Vadchhedia

TAFE Motors and Tractors Limited has opened a new manufacturing assembly line for engine production at its industrial site in Alwar, Rajasthan. Developed in partnership with German propulsion provider DEUTZ AG, the project represents the inaugural manufacturing joint venture between the two companies. The facility was formally inaugrated by Rajasthan Industry and Commerce Minister Rajyavardhan Singh Rathore.

During the inaugration, the company said that the assembly plant will specialize in manufacturing DEUTZ-licensed 2.2-litre and 2.9-litre engines aimed at domestic and overseas logistics, agricultural, and industrial equipment sectors. According to project specifications, the plant will operate at a projected annual output capacity of 35,000 completed engines and 50,000 sub-assembly components. 

TAFE and the Amalgamations Group expect their combined engine production capacity to expand from 4,00,000 to 5,50,000 engines annually by 2030.

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