TVS to Setup New Manufacturing Facility to Increase Production Capacity

• New manufacturing facility to an annual capacity of 15 lakh units
• Total capacity to increase to 83 lakh annually

TVS Motor Company is planning to significantly ramp up its manufacturing capacity over the next 12 months to cater to rising demand across multiple segments. The company plans to add 15 lakh units to its annual production capacity over the next year.

Speaking during the company’s post-results interaction, CEO KN Radhakrishnan revealed that TVS aims to target a total installed capacity of around 83 lakh per year with this new expansion plan.

As part of this expansion, TVS is also evaluating the possibility of setting up a new two- and three-wheeler manufacturing facility. The company is currently considering locations across Gujarat, Madhya Pradesh, Karnataka and Tamil Nadu.

TVS Motor Company sold more than 59 lakh vehicles in FY2026 and continues to witness strong growth in the EV space. The company has already increased EV production to around 40,000 units per month and plans to scale it up further to 50,000 units monthly in the near future.

The Hosur facility will continue to be the mainstay for TVS, and is expected to play a larger role in manufacturing future Norton motorcycles for India as well as global markets. Meanwhile, TVS has earmarked nearly Rs. 3,500 crore as capital expenditure for FY2027 towards product development, manufacturing expansion and R&D.