TVS to add 1.5 million units of manufacturing capacity in next 12 months

TVS Motor Company plans to increase its manufacturing capacity by 1.5 million units over the next 12 months, taking total installed capacity to around 8.3 million units annually.

1. Capacity to rise from an estimated 6.8 million to 8.3 million units annually
2. Expansion to support scooters, premium motorcycles, EVs, exports and three-wheelers
3. Hosur plant to play key role in global Norton production

TVS looks to increase annual capacity

TVS’s Hosur plant will play a larger role in manufacturing future Norton bikes.

Speaking during the company’s post-results interaction, CEO KN Radhakrishnan said the expansion will support rising demand across scooters, premium motorcycles, electric vehicles, exports and three-wheelers.

“Immediately, we are looking at increasing the capacity by another 1.5 million to go to somewhere around 8.3 million. Because the demand is good, we have to add significant capacity in the next 12 months,” he said.

Our sister concern, Autocar Professional, had earlier reported that TVS is evaluating plans for a new two- and three-wheeler manufacturing facility, with Gujarat, Madhya Pradesh, Karnataka and Tamil Nadu among the states under consideration.

The company sold over 5.9 million units in FY26 and is also ramping up EV production, with monthly output rising to around 40,000 units. It plans to increase EV production further to 50,000 units per month in the near term.

TVS also confirmed that its Hosur plant will play a larger role in manufacturing future Norton models for global markets.

For FY27, the company estimates capital expenditure of around Rs 3,500 crore, led by investments in product development, manufacturing expansion and R&D.

With inputs from DARSHAN NAKHWA