Mobility solutions provider Jupiter Wagons on Tuesday said its subsidiary Jupiter Tatravagonka Railwheel Factory is planning to set up a new plant in Odisha for producing forged wheelsets with an investment of around ₹2,500 crore.

The proposed Odisha plant will increase the annual production capacity of Jupiter Tatravagonka, formerly Bonatrans India, from the current 20,000 forged wheelsets per annum to one lakh forged wheelsets per annum.

The new facility is expected to be fully operational by CY27, Jupiter Wagons said in a stock exchange filing.

“Once completed, it (the new facility) will serve both domestic and international markets, with approximately 50 per cent of the production capacity dedicated to exports, primarily to its partner Tatravagonka A.S and other European players. This move aligns with the company’s strategy to support the “Make in India” initiative, boosting India’s manufacturing capabilities and strengthening the company’s role in the global supply chain,” the company said, while announcing a strategic transformation of the subsidiary.

Commenting on this development, Vivek Lohia, Managing Director of Jupiter Wagons, said, “We are excited to announce the transformation of our subsidiary, now named Jupiter Tatravagonka Railwheel Factory Private Ltd. The investment in a new facility, housing state-of-the-art manufacturing technology, positions us for greater growth and efficiency.”

Lohia said the company continued to take bold steps toward a more sustainable, efficient and globally competitive future for the rail infrastructure manufacturing industry in India. “This latest investment underscores our vision of innovation and excellence as we now aim to deliver world-class products to global markets,” he added.

The company, a part of the Kolkata-based Jupiter Group, had acquired Bonatrans India, Europe’s premier wheelset producer, in the last fiscal, making it the first rolling stock manufacturer to have its own wheel plant.

“This acquisition leverages advanced technology for scalable product development. The strategy behind acquiring Bonatrans is to build our wheelset manufacturing capabilities for both internal use and to reduce import dependencies,” Jupiter Wagons said in its latest annual report.

The company is one of the leading players in the Indian railway wagon manufacturing industry. It has diversified into the manufacturing of braking systems, components of rolling stocks such as wheel sets and application-based load bodies on commercial vehicles.