Royal Enfield New Plant In Andhra Pradesh – Rs 2,500 Crore Investment

Royal Enfield is a world renowned classic and retro motorcycle manufacturer and is India’s leading 2W manufacturer in the 250cc to 750cc space. The company is also ranked at 3rd position as the ‘World’s Strongest Automobile Brands’ by Brand Finance Automotive Industry 2026 report.

The company currently has four manufacturing facilities in Tamil Nadu state which handle the production of Royal Enfield’s 350cc to 650cc motorcycles. Now, Royal Enfield is set to secure a land parcel in Tada (Tirupati district, Andhra Pradesh) to set up a new facility to accommodate future projects. Let’s take a closer look.

Royal Enfield New Plant In Andhra

India’s most celebrated motorcycle brand, Royal Enfield, is preparing to set up a new greenfield manufacturing facility at Tada in Tirupari district of Andhra Pradesh state. The investment planned for this greenfield expansion is Rs 2,500 Crores. It is subject to be approval by company’s board and is said to accommodate future projects and surge in demand.

The company’s expansion plan is set to take place in a phase-wise manner, expanding Royal Enfield’s current capacity of 14.6 lakh motorcycles per annum, which is close to full utilisation. With demand surging, Royal Enfield is set to expand its manufacturing capabilities. In that regard, the company recently announced Rs 958 Crores investment on its Cheyyar plant in Tamil Nadu.

This move will unlock a production capacity of 2 million units per annum, which is 20 lakh units, which might satisfy Royal Enfield’s near term goals. The new greenfield facility in Tada, Andhra Pradesh will benefit the company in its long term growth trajectory.

Royal Enfield already operates four manufacturing facilities in Tamil Nadu and seven CKD facilities in Nepal, Bangladesh, Thailand, Argentina, Colombia and two assembly facilities in Brazil. The company operates 3200+ retail stores across India and 80+ countries. The company is working on next generation twinners, equipped with a 750cc mill.

Statement from Royal Enfield

Speaking on the strategic expansion plan, B. Govindarajan, Managing Director – Eicher Motors Ltd., and Chief Executive Officer – Royal Enfield said, “Royal Enfield’s philosophy has always been to stay connected with our community to deliver the best possible products and experiences. We currently operate four world-class manufacturing facilities in Tamil Nadu, with a total projected capacity of 2 million units annually. This investment in Andhra Pradesh will augment that capacity and provide the impetus for our next phase of growth.

We are grateful to the Government of Andhra Pradesh for their support and partnership as we strengthen our presence in a state with immense potential. Having already established over 100 retail and service outlets and more than 1,200 direct and indirect employment opportunities, we are proud to contribute to its industrial and economic landscape.”