Royal Enfield To Setup A New Manufacturing Plant In Andhra Pradesh

In what can be seen as a major shift in Royal Enfield’s manufacturing journey in our country, the company has shown interest in setting up a new plant in Andhra Pradesh. If the company does go ahead with its decision, it will be the Royal Enfield manufacturing facility outside Tamil Nadu after it commenced India operations in 1950s. The proposed manufacturing unit is located at Satyavedu in Tirupati district, close to the Andhra Pradesh-Tamil Nadu border.

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It’s reported that Royal Enfield will be investing close to ₹2,200 crore in two phases in the upcoming plant. The Andhra Pradesh facility is expected to have a capacity of 9 lakh units and given the rise in demand for Royal Enfield motorcycles both in India and globally, this looks a positive step for the brand.

It’s also reported that Chief Minister N. Chandrababu Naidu, who’s part of the Andhra Pradesh State Investment Promotion Board (SIPB) has personally approved the new project.  Around 267 acres of land has been earmarked for this plant and it’s expected to generate around 5,000 direct and indirect jobs in the area. Another aspect of the project, apart from the manufacturing unit, is the inclusion of a dedicated vendor park, which will help the company with its supplier ecosystem for faster turnaround time and also reducing logistic costs. The first phase of this ambitious plan is expected to complete in 2029 and the second phase by 2032.