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Hero MotoCorp plans new plant in South India

Hero MotoCorp plans new plant in South India

With plans afoot to protect leadership position in the country, increase overall capacities and to compete with rivals Honda head on, Hero MotoCorp now plans its sixth plant in India. The two wheeler major in the country is in the process of finalizing location of this new plant into which it will pump INR 1,000 crores investment.

Hero MotoCorp plans new plant in South IndiaLocation and time line of Hero MotoCorp’s 6th production plant in India is yet to be finalized with the company scouting for suitable land where this new plant will be built. Once completed, the new will have production capacity of 15-20 lakhs per annum and is predicted to take total annual capacity upto 12 million units.

This decision to set up a new plant comes even while Hero’s fourth and fifth plants at Neemrana in Rajasthan and Halol in Gujarat are yet to commence operations. The company has three other plants out of which two are located in Haryana and the other in Uttarakhand, Orissa. The new manufacturing unit will target the marketing needs of buyers in South India.

hero motocorp to enter americaHero MotoCorp’s Rajasthan plant is set to commence production operations. This plant was set up at an investment of INR 400 crores and trial runs are being conducted on site. Once full fledged production operations commence, capacity of the company will increase to 76.5 lakh units. The company’s Gujarat plant is set up at an investment of INR 1100 crores with production capacity of 18 lakh units. Production is set to commence from the next financial year.

In the meantime, Hero MotoCorp is also keen to commence selling bikes in US from next year. The company entered 18 global markets in the past one and half years and is sure of their range of motorbikes being well received in US markets as well. Marketing of their products will be done through Erik Buell Racing (EBR) in which Hero has a 49.2% stake.


About the author

Sagar Patel

Sagar Patel

A first drive in a manual rickety old van was enough to pave the road forward for Sagar Patel. When not driving or riding, his dexterity shifts gear to voice passion through words via reviews, and news, all the while, closely monitoring updates from the auto industry.

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