As India races toward a clean and sustainable future, the electric vehicle (EV) industry has become a critical focus for policymakers and entrepreneurs alike. Among several emerging EV hubs across the country, Chhatrapati Sambhajinagar—formerly known as Aurangabad—is rapidly positioning itself as the nerve center of India’s electric vehicle manufacturing ecosystem in 2025. Backed by strategic infrastructure investments, government vision, and burgeoning industry participation, Sambhajinagar is emerging as India’s prospective EV manufacturing capital, promising to redefine the country’s mobility and industrial landscape.
The Strategic Edge: Location and Connectivity
Sambhajinagar’s rise as an EV manufacturing hotspot is no accident. Its strategic location in Maharashtra, complemented by major connectivity projects such as the Nagpur-Mumbai Samruddhi Expressway and integration with the Delhi-Mumbai Industrial Corridor (DMIC), offers unparalleled advantages. These transportation corridors cut down logistics costs drastically and shorten delivery times for finished vehicles and EV components.
The Samruddhi Expressway connects Sambhajinagar to Mumbai and Nagpur, two major industrial centers, while the ongoing development of the DMIC turns the city into an industrial node in a corridor expected to boost India’s manufacturing capability dramatically. This infrastructure supports seamless freight movement, attracting electric vehicle manufacturers and component suppliers to set up factories in the region. The promise of robust connectivity also entices ancillary businesses, from battery technology firms to EV charging infrastructure providers, to join the ecosystem.
Aurangabad Industrial City (AURIC): A Modern Manufacturing Hub
A defining asset in Sambhajinagar’s EV ambitions is Aurangabad Industrial City (AURIC), a greenfield industrial zone established as part of the DMIC initiative. Spread across thousands of acres, AURIC is a planned city integrating smart manufacturing, sustainability principles, and advanced industrial infrastructure.
The industrial city exemplifies a clean, eco-friendly approach to manufacturing, with investments exceeding ₹71,000 crore in just six years, making it one of the most attractive manufacturing hubs in India. Major electric vehicle players like Ather Energy, Toyota, and JSW Steel have established or are in the process of setting up manufacturing facilities within AURIC.
This concentration of EV-related industries within close proximity enables efficient supply chain collaboration and encourages innovation through shared knowledge and resources. The presence of dedicated zones for battery manufacturing, assembly plants, and research centers fosters a comprehensive EV ecosystem that encompasses everything from vehicle production to component development and testing.
Read Also: Emerging Markets Take Off: Record EV Growth Outside China, Europe, and the U.S.
Government Commitment and Policy Support
Government backing plays a pivotal role in the transformation of Sambhajinagar. Maharashtra Chief Minister Devendra Fadnavis has championed the city’s development as the nation’s electronic vehicle capital, emphasizing the synergy between policy incentives, infrastructural improvements, and industrial growth.
A key plank of government support is the financial and infrastructural provisions for addressing the region’s unique challenges, such as the water scarcity endemic to Marathwada. Aggressive projects are underway to divert waters from the Krishna river basin and Ulhas river basin, ensuring that industrial growth can coincide with sustainable water management.
Policy incentives for EV manufacturers and suppliers include tax breaks, expedited land allotments, and the development of skill training facilities to meet rising labor demands. The state’s plan anticipates creating over 62,000 direct and indirect jobs through EV-related manufacturing and allied services shortly, positioning Sambhajinagar as both an economic growth engine and a socio-economic upliftment catalyst.
Growing EV Industry Ecosystem
The Sambhajinagar region is witnessing an influx of various stakeholders, ranging from multinational OEMs to innovative startups. Startups specializing in battery technology, EV charging solutions, and smart mobility contribute technological depth to complement manufacturing expansions.
The entry of big names like Ather Energy and Toyota reflects the growing confidence in Sambhajinagar’s ability to host high-technology manufacturing operations. Their projects encompass everything from electric two-wheelers to passenger cars and batteries. The cluster effect—the agglomeration of related companies in one region—enhances productivity and innovation, improving chances for Indian EV manufacturers to compete globally.
Startups have been instrumental in ramping up India’s capabilities in battery management systems, advanced motor design, and charging infrastructure planning. This synergy creates a fertile environment in Sambhajinagar for continuous technological advancement, essential for the fast-evolving EV sector.
Read Also: Lemon Laws in the United States: How They Protect Electric Vehicle Buyers
Infrastructure Development Beyond Manufacturing
The comprehensive EV vision for Sambhajinagar extends well beyond vehicle production. Supporting infrastructure such as expansive networks of EV charging stations, battery swapping points, and logistics hubs are under development to support the entire electric mobility ecosystem.
Plans are underway for enhancements in urban infrastructure, including a dedicated ring road for smoother freight movements, flyovers to manage city traffic congestion, and upgraded rail links. Additionally, a floating solar energy project at the Jayakwadi dam is designed to provide clean power to factories and support grid stability, reinforcing the green credentials of the industrial city.
The government is also investing in social infrastructure initiatives such as training centers to upgrade local workforce skills, enhancing human capital preparedness for highly technical EV manufacturing jobs. These efforts reduce bottlenecks in skilled labor availability, a common challenge in industrial setups of this scale.
Economic Impact: Job Creation and Regional Development
Sambhajinagar’s emergence as an EV manufacturing capital promises a substantial socio-economic transformation for the Maharashtra region, particularly Marathwada, historically drought-prone and industrially underdeveloped.
By attracting nationwide and foreign investments, the city is witnessing an expansion of employment opportunities in manufacturing, assembly, R&D, and services. Estimates project over 62,000 direct and indirect jobs related to EV manufacturing within a few years, a boon for local families and communities.
Beyond job creation, the infrastructure improvements, rising urbanization, and inflow of skilled professionals raise living standards and support the development of model villages in the region, contributing to inclusive economic growth. The government’s ongoing Mukhyamantri Samruddha Panchayat Raj Abhiyan aims to convert thousands of villages into development models with full access to welfare schemes.
Challenges and the Road Ahead
While Sambhajinagar’s prospects are promising, challenges remain that require vigilant management. Water scarcity is a major concern that the government is addressing through large-scale diversion and replenishment projects.
Competition from other rising EV hubs in India means that Sambhajinagar must continuously upgrade infrastructure, provide competitive incentives, and nurture innovation to retain its leading position. Further, enhancement of supply chain ecosystems, skilled labor development, and research collaborations is critical to sustaining growth momentum.
Nevertheless, the coordinated approach combining government vision, private investment, and infrastructural development places Sambhajinagar on track to emerge as the country’s dominant EV manufacturing hub in the foreseeable future.
Conclusion
Chhatrapati Sambhajinagar’s transformation into India’s electric vehicle manufacturing capital symbolizes more than industrial progress—it represents a commitment to sustainable development, regional upliftment, and technological leadership. The city’s strategic location, world-class industrial parks like AURIC, abundant government support, and a vibrant ecosystem of startups and OEMs collectively set a robust foundation for India’s EV ambitions.
Employment generation and infrastructure improvements will uplift communities once limited by agricultural dependency and drought, while offering Indian consumers greater access to domestically produced electric vehicles. The coordinated expansion of manufacturing and charging infrastructure also safeguards India’s environmental goals by accelerating the adoption of cleaner transportation.
As India seeks to lead the global green mobility revolution, Sambhajinagar’s rise as a manufacturing powerhouse signals a promising future—one powered by innovation, inclusivity, and sustainable growth.