TVS eyes number two position with FY27 production target

TVS Motor Company is reportedly targeting double-digit production growth to 68-72 lakh units in FY27, which would position it to challenge Honda Motorcycle & Scooter India for the number two spot in our market.

1. TVS targeting 68-72 lakh unit production in FY27
2. Company’s FY26 production estimated at 57 lakh units

TVS Motor production targets

Number two position within reach

TVS Motor has been steadily ramping up production over the past few years, reflecting sustained demand across both domestic and export markets. The manufacturer currently holds close to 20 percent market share in India’s two-wheeler segment, up from around 16 percent three years ago. For FY26, TVS Motor’s two-wheeler production is estimated at around 57 lakh units, representing a 22 percent growth over FY25.

Autocar Professional reports that the brand’s push towards the number two position is being driven by a more diversified growth strategy than Honda. While Honda remains heavily reliant on its core scooter portfolio, TVS has built momentum across multiple segments, including premium motorcycles, exports and electric two-wheelers. Honda’s core scooter business has also been facing increasing pressure from TVS.

TVS Motor’s production target for FY27 would place it at a level comparable with Honda, which is targeting around 68 lakh units. If TVS achieves the upper end of its projected range, it could surpass Honda’s output, intensifying competition for the number two ranking. However, sources note that these targets assume normal business conditions and could change if geopolitical factors, such as the West Asia conflict, disrupt supply chains or demand.

Key drivers of TVS Motor’s growth include the ongoing trend towards premiumisation and larger-capacity motorcycles. Exports remain another strong pillar, with TVS establishing a significant presence across developing markets, particularly in Africa. The company also holds the top spot in India’s electric two-wheeler segment, with annual production approaching 5 lakh units. Growing EV demand has prompted the company to evaluate further expansion of its electric manufacturing capacity.

Ketan Thakkar and Kiran Murali