In FY26, Royal Enfield delivered its second consecutive year of over one million motorcycles, crossing 1.2 million units.
Royal Enfield, the global leader in the mid-size (250cc-750cc) motorcycle segment, on May 18 said it will invest Rs 2,500 crore on a new greenfield manufacturing facility in Andhra Pradesh.
The motorcycle maker is set to acquire a land parcel in Tata (Tirupati) as it plans a strategic manufacturing expansion to ramp up its production capacity.
“The company plans to invest approximately ₹2,500 crores for the greenfield expansion. Subject to approval by the company’s board, the project will be implemented in a phased manner, calibrated to future demand and market conditions,” it said in a statement.
Currently, the company has a capacity of around 14.6 lakh motorcycles per year, which is close to full utilisation. In February 2026, Royal Enfield announced a ₹958 crore investment for capacity expansion in Cheyyar Tamil Nadu which will increase the total capacity to 20 lakh units.
“We currently operate four world-class manufacturing facilities in Tamil Nadu, with a total projected capacity of 2 million units annually. This investment in Andhra Pradesh will augment that capacity and provide the impetus for our next phase of growth,” said B Govindarajan, Managing Director - Eicher Motors Ltd., and Chief Executive Officer - Royal Enfield.
“We are grateful to the Government of Andhra Pradesh for their support and partnership as we strengthen our presence in a state with immense potential. Having already established over 100 retail and service outlets and more than 1,200 direct and indirect employment opportunities, we are proud to contribute to its industrial and economic landscape,” Govindarajan added.
Currently, the company has four manufacturing facilities in Tamil Nadu, India and seven CKD facilities across Bangladesh, Nepal, Brazil (2), Thailand, Argentina and Colombia. It operates through more than 3200 stores across India and over 80 countries around the globe.
In FY26, Royal Enfield delivered its second consecutive year of over one million motorcycles, crossing 1.2 million units.
Published on: May 18, 2026 6:24 PM IST
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