"Caterpillar to Expand Operations in Tamil Nadu with ₹500 Crore Investment"

Caterpillar, the U.S.-based construction equipment giant, is set to invest ₹500 crore to expand its operations in Tamil Nadu. The investment will enhance production capacities at the company’s existing facilities in Tiruvallur and Hosur.

The expansion was formalized with the signing of a Memorandum of Understanding (MoU) in the presence of Tamil Nadu Chief Minister M.K. Stalin during his visit to Chicago, USA.

Caterpillar, a leader in the backhoe loader segment, operates five manufacturing facilities across India, including key plants in Tamil Nadu. The backhoe loader market, which accounts for over 50% of India’s construction equipment volumes, has seen robust growth in recent years, contributing to the industry’s overall double-digit expansion in FY23 and FY24.

The company’s Tiruvallur facility produces a range of heavy machinery, including mining trucks, hydraulic excavators, and backhoe loaders, while the Hosur facility focuses on engine and drivetrain manufacturing. With a global revenue of $67 billion, Caterpillar’s Indian operations employ over 7,300 people, further supported by 4,000 employees through its dealership network.

Caterpillar’s investment comes as the Indian government continues to prioritize infrastructure development, fueling growth across the construction equipment industry.

HBL