Royal Enfield to Invest ₹ 2,500 Crores in Greenfield Manufacturing Expansion in Andhra Pradesh
Royal Enfield, the global leader in the mid-size motorcycle segment, is set to undertake a strategic manufacturing expansion in Andhra Pradesh. The company plans to acquire a land parcel in Tada (Tirupati), Andhra Pradesh, for a new greenfield facility with an estimated investment of approximately ₹ 2,500 crores.The project, which is subject to the company's board approval, is slated for phased implementation, calibrated to future market demand and operational needs.
B. Govindarajan, Managing Director of Eicher Motors Ltd. and Chief Executive Officer of Royal Enfield, stated that this investment in Andhra Pradesh will augment the company's capacity and provide impetus for its next phase of growth.
Royal Enfield currently operates four world-class manufacturing facilities in Tamil Nadu, contributing to a total projected annual capacity of 2 million units. The expansion aims to strengthen the company's presence in the state of Andhra Pradesh.
The company's existing manufacturing capacity and recent expansions are detailed below:
| Milestone/Period | Location/Scope | Investment Amount | Total Capacity |
|---|---|---|---|
| Current Operations | Tamil Nadu (4 facilities) | N/A | 2 million units annually (Projected) |
| Prior Expansion (Feb 2026) | Cheyyar, Tamil Nadu | ₹ 958 crores | 20 lakh units |
| Future Expansion | Tada, Andhra Pradesh | ₹ 2,500 crores | To be augmented |
As part of its long-term growth trajectory, Royal Enfield reports having established over 100 retail and service outlets and generating more than 1,200 direct and indirect employment opportunities in the region.
In fiscal year 2026, Royal Enfield reported delivering over one million motorcycles, surpassing 1.2 million units. The brand received recognition for its performance, ranking highest in two-wheeler initial quality in the 2025 J.D. Power India and securing the top position in the FADA Dealer Satisfaction Survey. Additionally, Royal Enfield was ranked #3 among the World's Strongest Automobile Brands in the Brand Finance Automotive Industry 2026 report.
The company maintains a substantial global operational footprint, including four world-class technical centres in Tamil Nadu, India, and seven modern CKD assembly facilities across Bangladesh, Nepal, Brazil (2), Thailand, Argentina, and Colombia.
EICHERMOT Stock Price Movement
Eicher Motors Limited shares today slipped by 1.71% to settle at ₹6,913, marking a decline of ₹120.00 from its previous close. The stock saw significant activity throughout the session, with total traded volume reaching 316,357 shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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