CNH India Ramps Up US Exports, Invests Rs 1,800 Cr in New Capacity

CNH India, the Indian arm of Italian-American agricultural equipment major CNH, has resumed full-scale tractor exports to the US following the recent India-US trade agreement that cut tariffs on Indian goods from as high as 50 per cent to 18 per cent. Production for the US market had been paused in late 2025 due to higher duties, except for limited compact tractor models used for trials.

CNH India President and Managing Director Narinder Mittal said, "With the US tariff now reduced to 18 per cent, we have immediately resumed full-fledged tractor exports from India to the US."

He added, "Volumes will be higher than last year, thanks to the addition of new compact tractor models, maintaining our US contribution at around 30 per cent of overall exports despite the current downturn in the American market."

CNH India operates brands like New Holland and Case IH, exporting utility light tractors, utility medium tractors, and components. The move is part of its "India for Global" strategy, positioning the country as a hub for small and medium tractors and aggregates supplied to the US, Europe, and Latin America.

To support growing exports and domestic demand, CNH India plans an investment of around Rs 1,800 crore over the next two to three years. Mittal said, "We are committing a fresh investment of approximately Rs 1,800 crore over the next two to three years," with Rs 1,000 crore earmarked for a new greenfield tractor plant aimed at doubling annual production from 60,000 to 1,20,000 units.

Land acquisition is underway, with Uttar Pradesh preferred for its proximity to Noida, while construction is expected to begin in 2026 and commissioning by early 2028. The investment highlights confidence in India’s agricultural mechanization, supported by favorable policies and rising global demand.