Happy Forgings Limited (HFL) will invest ₹1,000 crore in Ludhiana, a move aimed at strengthening Punjab’s industrial growth and business environment, Cabinet Minister Sanjeev Arora announced. Under the leadership of National Convenor Arvind Kejriwal and Chief Minister Bhagwant Singh Mann, the state is focusing on boosting industrial development and making business operations smoother. Happy Forgings Limited, a leading manufacturer of auto and engineering specialty products, is the third-largest company in India’s engineering manufacturing sector.
Addressing the media, Cabinet Minister Shri Sanjeev Arora highlighted that HFL focuses on forging and machining high-quality products for both domestic and export markets. The company caters to a wide range of sectors including commercial vehicles, passenger vehicles, agricultural equipment, off-highway segments, power generation, railways, oil and gas, wind turbines, and defense. After being listed on the stock exchange in December 2023, HFL emerged as one of Punjab’s largest listed companies in FY 2024–25, with a market capitalization of ₹10,000 crore and revenue of ₹1,409 crore.
Sanjeev Arora also shared that Punjab is the main hub for HFL’s manufacturing operations. As of June 30, 2025, the company has provided direct employment to around 4,000 people through capital investments worth ₹1,500 crore. HFL is also a major supplier to leading OEMs in India and abroad, serving key customers in different sectors:
1. Commercial Vehicles – Ashok Leyland, Eicher, Meritor, Mahindra
2. Agricultural Equipment – TAFE, Escorts, Swaraj, Sonalika, John Deere
3. Off-Highway – JCB, Wipro, Dana, Hendrickson
4. Industrial – Cummins, Generac, Bonfiglioli, Toyota Tsusho, Kohler, Liebherr
Talking about future plans, Mr. Ashish Garg stated that HFL will make a significant phased investment of over ₹1,000 crore to expand its manufacturing footprint. Despite receiving investment proposals from other states, HFL has chosen to continue investing in Punjab, placing full faith in the state government and its policies. This major investment will generate more than 2,000 job opportunities, including over 300 engineering positions. Additionally, it will encourage the development of many ancillary units, increase steel consumption, and further strengthen the local economy and supply chain.
HFL’s Managing Director, Ashish Garg, said it is encouraging that the Punjab Government is introducing a new industrial policy under recently formed sectoral committees. He expressed confidence that the policies would align with industry needs. The proposed investment will establish one of Asia’s most modern forging facilities, capable of producing single pieces weighing between 1,000 kg and 3,000 kg — the first such facility in Asia and the second-largest in the world.
He further noted that this capacity expansion will enable HFL to strategically cater to specialized requirements of non-automotive industrial products in sectors such as aerospace, defense, and nuclear.
He also mentioned that due to technical issues related to incentives under the new GST registration, the company will continue additional capital investment under its existing GST registration for expanding its current plant. He added that HFL looks forward to a successful long-term partnership.
During the press conference, Shri Amit Dhaka, IAS, CEO of Invest Punjab; Mrs. Seema Bansal, Vice Chairperson, Punjab Development Council; Shri Vaibhav Maheshwari, Member, Punjab Development Council; and Ms. Megha Garg, Director, HFL, were also present.
