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Royal Enfield’s new plant in Andhra Pradesh – investment of Rs 2,500 crore

By Shivani Singh
Last updated: May 19, 2026
4 Min Read
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Royal Enfield's new plant in Andhra Pradesh
Royal Enfield’s new plant in Andhra Pradesh

Royal Enfield is a world renowned classic and retro motorcycle manufacturer and India’s leading 2W manufacturer in the 250cc to 750cc space. The company has been ranked third as the ‘World’s Strongest Automobile Brand’ in the Brand Finance Automotive Industry 2026 report.

The company currently has four manufacturing facilities in the state of Tamil Nadu that 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’s new plant in Andhra

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

Royal Enfield's new plant in Andhra Pradesh
Royal Enfield’s new plant in Andhra Pradesh

The company’s expansion plan is going to happen in a phased manner, which will expand Royal Enfield’s current capacity of 14.6 lakh motorcycles per year, which is close to full utilization. With demand increasing, Royal Enfield is set to expand its manufacturing capabilities. In that regard, the company has recently announced an investment of Rs 958 crore at its Cheyyar plant in Tamil Nadu.

The move will unlock production capacity of 2 million units i.e. 20 lakh units per year, which can meet Royal Enfield’s near-term targets. The new greenfield facility at 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 over 3200 retail stores in India and over 80 countries. The company is working on the next generation twinner, which will be equipped with a 750cc mill.

New Royal Enfield Hunter 350
New Royal Enfield Hunter 350

Royal Enfield’s statement

Speaking on the strategic expansion plan, B. Govindarajan, Managing Director – Eicher Motors Limited, 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 estimated capacity of 2 million units annually. This investment in Andhra Pradesh will enhance that capacity and provide inspiration for the next phase of our growth.

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

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