Eicher Motors has approved an estimated 958 INR-Crore investment to expand the manufacturing capacity of Royal Enfield. The company will undertake this brownfield expansion at its Cheyyar plant in Tamil Nadu.
As a result, total annual installed capacity will increase from about 14.6 lakh units to up to 20 lakh units across plants. Meanwhile, the company will implement the capacity addition in phases starting from Q1 FY2027. This project is slated for completion by FY2028.
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Overall, this expansion of the Royal Enfield manufacturing capacity will position the company for sustained long-term growth.
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