Business Update10 Feb 2026, 05:07 pm
Eicher Motors Ltd. Approves Capacity Expansion for Royal Enfield with an Investment of Rs. 958 Crore
AI Summary
Eicher Motors Ltd., the manufacturer of Royal Enfield motorcycles, has announced a capacity expansion. The existing capacity is around 14.6 Lakh motorcycle units per year, which is close to full utilization. The proposed capacity addition will increase the total capacity to up-to 20 Lakh motorcycle units per year. The estimated investment for this brownfield expansion at the Company’s plant in Cheyyar, Tamil Nadu, is Rs. 958 Crore. The ramp-up capacity is to be added in a phased manner starting from Q1 FY 2026-27 and is expected to be completed in FY 2027-28.
Key Highlights
- Eicher Motors Ltd. approves capacity expansion for Royal Enfield
- Existing capacity is around 14.6 Lakh motorcycle units per year
- Proposed capacity addition will increase the total capacity to up-to 20 Lakh motorcycle units per year
- Estimated investment for this expansion is Rs. 958 Crore
- The ramp-up capacity is to be added in a phased manner starting from Q1 FY 2026-27 and is expected to be completed in FY 2027-28