Punjab Chief Minister Bhagwant Singh Mann on Monday laid the foundation stone of the country’s first-of-its-kind ₹1,116 crore forging and machining unit being established by Vardhman Special Steels in partnership with Japan’s Aichi Steel, describing it as a major boost to Punjab’s industrial growth and employment generation.
The project will provide direct employment to over 500 youth, while the Chief Minister expressed confidence that future expansion by the Vardhman-Aichi venture could create jobs for another 2,000 people. He said the investment, enhanced from the initially proposed ₹500 crore to ₹1,116 crore after the companies witnessed Punjab’s conducive industrial environment, reflects growing global confidence in the state’s pro-industry policies. The plant will manufacture high-value automobile components for domestic and international markets, while Punjab’s new industrial policy ensures all approvals within 45 days through the Single-Window, Single-Pen system.
Addressing the gathering, CM Bhagwant Singh Mann said, “This project marks the dawn of a new era for Punjab’s industrial sector. It will provide direct employment to more than 500 youth while accelerating the economic development of the state. Vardhman is not only a leading industrial group but also an important part of Punjab’s growth story, having operated in the state for nearly four decades. The partnership between Vardhman and Aichi Steel is based on trust, technology and a long-term vision.”
The Chief Minister said, “Aichi Steel is a respected Japanese company and an important supplier to the Toyota Group. During our visit to Japan in December 2025, we met the leadership of Aichi Steel in Nagoya. At that time, Vardhman and Aichi Steel signed an MoU to explore setting up a new manufacturing facility in Punjab with an investment potential of around ₹500 crore. Today, within a few months, that MoU has transformed into a real project. This is the true meaning of translating policy into practice and commitment into reality. The total planned investment across two phases is around ₹1,100 crore.”
Highlighting the significance of the project, CM Bhagwant Singh Mann said, “This project will bring advanced Japanese forging technology to Punjab and manufacture high-value automobile components for India as well as markets in Europe, ASEAN, Africa and Mexico. Punjab will not only produce special steel but will also manufacture precision-engineered finished components. This is an important transition from basic manufacturing to high-value manufacturing and will further strengthen Ludhiana’s position as a major centre for engineering, automobile parts and advanced manufacturing.”
Referring to the state’s industrial ecosystem, the Chief Minister pointed out, “This investment demonstrates the confidence that international companies have in Punjab’s skilled workforce, work culture and industrial strength. The Punjab Industrial and Business Development Policy 2026 provides support through 24 sectoral policies and promotes advanced manufacturing, exports, technology, employment and sustainable industrial growth. Our approach is simple. Investors should receive clear policies, quick decisions and complete support throughout the life of their projects.”
He stated, “Punjab has established a unique system of one office, one portal, ‘Single Window-Single Pen’, and single-point responsibility. ‘Invest Punjab’ serves as the single point of contact for investors from the first discussion to approvals, construction, production and future expansion. Through the Fast Track Punjab Portal, investors can apply, pay fees and track approvals online. The portal integrates more than 200 business services and nearly 50 major regulatory clearances.”
Emphasising ease of doing business, CM Bhagwant Singh Mann affirmed, “Approvals are monitored through fixed timelines and applications are decided within a maximum of 45 working days, with an auto-deemed approval system wherever applicable under ‘single window-single pen’ system. Our objective is to eliminate unnecessary delays and make governance transparent, predictable and accountable. Punjab has already attracted investments worth around ₹1.78 lakh crore with the potential to generate employment for nearly six lakh people. This clearly reflects the trust that industry has reposed in Punjab, and Punjab stands firmly with industry.”
Recalling the state government’s outreach in Japan, the Chief Minister stated, “Our visit to Japan was not merely a foreign tour. It was a mission to bring investment, technology, skills and global opportunities to Punjab. We engaged with leading Japanese companies and institutions in Tokyo, Nagoya and Osaka, and today’s project is among the most significant outcomes of that mission. The Punjab Government will provide complete support to Vardhman and Aichi Steel for the timely completion of this project.”
Highlighting the transformation in Punjab’s industrial climate, CM Bhagwant Singh Mann said, “Due to the pro-industry policies of the state government, several industries from other states have shifted their operations to Punjab over the last four years. This is a complete reversal of the earlier trend when industries were leaving the state. We inherited a system where industries were fleeing Punjab because they were frustrated by the extortion and share system that prevailed under previous governments. Through sustained efforts, we have restored confidence and made Punjab a frontrunner in industrial development.”
The Chief Minister further said, “The days when investors were subjected to pressure for undue favours or shares in their ventures are over. Today, the Punjab Government works solely for the welfare of Punjab and Punjabis. Tata Steel has already established its second-largest plant after Jamshedpur in Punjab with an investment of ₹3,200 crore. It is also a matter of immense pride that leading companies such as Sanatan Textiles, Nestlé, CLAAS, Freudenberg, Cargill, Verbio and Danone have started operations in the state.”
Reiterating his government’s commitment to employment generation, CM Bhagwant Singh Mann asserted, “Our objective is to place tiffins in the hands of our youth by providing them with employment so that they stay away from syringes and the menace of drugs. Idle hands are a devil’s workshop, and unemployment is the root cause of several social problems. Therefore, the Punjab Government is making every possible effort to generate maximum employment opportunities and ensure that our youth build a prosperous future through meaningful jobs.”
