- Eicher Motors has approved an investment of ₹1,225 crore for the first phase of Royal Enfield's upcoming greenfield manufacturing facility in Andhra Pradesh, as confirmed by the company's board on July 29.
- The investment will fund Phase I of the new facility, which will have an annual production capacity of 4.5 lakh motorcycles at full utilisation.
- Once operational, Royal Enfield's total annual production capacity across all facilities will increase to around 24.5 lakh motorcycles.
- The Andhra Pradesh project was first announced in May this year, when Eicher Motors unveiled plans to build the facility in phases with a total planned investment of around ₹2,500 crore.
- Currently, Royal Enfield has an annual production capacity of around 15 lakh motorcycles across its Oragadam and Vallam Vadagal plants in Tamil Nadu.
Eicher Motors has greenlit a ₹1,225 crore investment for the first phase of Royal Enfield's manufacturing facility in Andhra Pradesh, approved on July 29. This facility will produce 4.5 lakh motorcycles annually, significantly enhancing the company's production capabilities.1234
This investment is part of a broader ₹2,500 crore expansion plan aimed at meeting increasing demand for Royal Enfield motorcycles. Once operational, the new plant will elevate Royal Enfield's total annual production capacity to approximately 24.5 lakh motorcycles across all facilities, including existing plants in Tamil Nadu.56
Currently, Royal Enfield's production capacity stands at around 15 lakh motorcycles from its Oragadam and Vallam Vadagal plants. The Andhra Pradesh project was initially announced in May, with plans to develop the facility in phases, reflecting the company's commitment to long-term growth and market expansion.78
The establishment of this new plant is expected to significantly strengthen Royal Enfield's manufacturing footprint in India, aligning with the company's strategy to cater to the growing motorcycle market.
“The investment will fund the first phase of a new manufacturing facility, significantly increasing Royal Enfield's total annual production capacity to around 24.5 lakh motorcycles. This expansion is part of a larger Rs 2,500 crore plan aimed at meeting rising demand and supporting long-term growth.”
