Nidec launches Rs 600 crore manufacturing plant in Karnataka’s Hubballi

Nidec, a global leader in data centre equipment manufacturing, on Monday inaugurated a new plant with an investment of Rs 600 crore at the Dharwad-Beluru Industrial Area, officials said.

The facility was officially launched by Karnataka’s Minister for Large and Medium Industries, M B Patil.

“The new plant, which creates 800 direct jobs, will cater to the growing demand across sectors such as electric vehicles, data centres, renewable energy, battery storage, and general industries. This unit will bolster local manufacturing, enhance R&D capabilities, and improve supply chain reliability,” Patil said in a statement issued by his office.

According to the statement, the plant will manufacture heavy-duty machines of 2 MW, 3 MW, and 4 MW capacity, essential for data centres, using advanced technology from Japan and France.

These machines will be exported to markets in the United States, the UAE, and Europe, alongside serving the domestic market, it said.

“While the facility has initially generated 800 direct jobs, the number is expected to rise to around 3,000 once the plant becomes fully operational,” Patil stated.

He also mentioned that 20 acres of land have been allocated for the company’s battery solutions unit.”In addition to heavy machinery, the plant will also produce power backup generators, wind generators, alternators for data centre, EV motors for three wheelers, four wheelers, trucks, elevator motors, and electronic drives-MV and LV,” it said.

Highlighting the government’s focus on industrial growth in North Karnataka, Patil said the state has introduced several concessions and facilities under its new industrial policy. “For Nidec’s project, we ensured timely facilitation by allotting the required land within just two years,” he added.

Addressing concerns about water usage, the minister clarified, “The Krishna River Water Tribunal has allocated 4 TMC of water for industrial purposes, of which we are currently using only 0.5 TMC. We are not diverting water meant for agriculture. Moreover, the industries are provided only downstream water from the Hidkal Dam.”

He further emphasised the importance of balancing industrial development with agricultural interests.

“While acquiring land for industrial purposes, fair compensation must be ensured for farmers. A healthy balance between agriculture and industry is vital,” Patil added.