CNH Industrial, the $19.8 billion Italian-American giant in agricultural and construction equipment, is set to expand its footprint in India by establishing a second New Holland tractor manufacturing facility. The new plant will be larger than the existing one and aims to help the company double its market share in India over the next five years.
Expanding Footprints in India
At present, CNH runs a 60-acre factory in Greater Noida. The plant has the capacity to produce 60,000 tractors every year, which can be increased to 70,000 if required. In 2024 alone, the facility produced around 51,000 tractors. Of these, 37,000 units were sold in India, while 14,000 were shipped to international markets, including the US and Europe. The upcoming facility will be set up on a larger site. While more details are yet to be shared, it’s clear that this move signals the company’s long-term commitment to India.
Market Goals and Strengths
India’s tractor market is huge, with sales close to 9 lakh units every year. However, New Holland’s share remains relatively small. CNH aims to change this by capturing a double-digit share of the market by 2030. The company already holds a leadership position in certain segments. It enjoys nearly 60% market share in sugarcane harvesters and small square balers, showing its strength in specialized agricultural solutions.
Launch of Compact Tractors
On September 10, 2025, CNH launched its first compact 4WD tractors in the 35–55 HP range at the Greater Noida plant. These tractors are designed in India but mainly targeted at international markets like Europe and North America. This move highlights India’s growing importance as a global manufacturing and export hub for the company.
India as a Global Hub
CNH’s Global CEO, Mr. Marx, emphasized that India is no longer just another regional market. Instead, the country is being developed as a hub for manufacturing, innovation, and global supply. Factors like cost advantages, a strong network of suppliers, and skilled manpower make India an attractive base for the company’s growth plans.
At present, CNH generates around $1 billion in revenue from its India operations, with:
· 65% coming from agriculture
· 32% from construction equipment
· 3% from financial services
Besides the Greater Noida tractor plant, the company also runs a combine harvester unit in Pune, a construction equipment facility in Pithampur (Madhya Pradesh), and a technology & product development center in Gurugram.
Summing up
With the launch of a second tractor plant and new product lines, CNH is preparing for a stronger role in India’s farm and construction equipment sector. By expanding production capacity, driving innovation, and growing exports, the company is well on its way to becoming a bigger and more influential player in the Indian market.
