Royal Enfield’s Rapid Expansion: More motorcycles, EVs and a New Cheyyar Manufacturing Facility
Royal Enfield is continually expanding its product portfolio. Likewise, the Chennai-based bike maker has more products planned for the future – such as the Shotgun 650, Scram 650, Himalayan 450, Scram 450, and new Bullet 350. With this rapid expansion, the need for additional production preparedness is essential to keep up with growing demand.
Royal Enfield recorded its highest ever sales of 8.34 lakh motorcycles in FY2023. To accommodate additional capacity and EV goals, the company is reportedly setting up a new manufacturing facility. It will be located in Cheyyar, outside Chennai.
Royal Enfield’s New Manufacturing Facility: Combining ICE Vehicles and EVs
The report elaborates that Royal Enfield has acquired 60 acres of land in Cheyyar for this new facility. This will require an investment of Rs 1,000 crore – Rs 1,500 crore over the next two years. Establishing a new facility can meet future demands.
Royal Enfield’s new facility in Cheyyar will reportedly produce both ICE vehicles and EVs. The facility will also take on some of the duties from Royal Enfield’s Thiruvottiyur factory. This entails a budget of up to Rs. 150 crore to lay the groundwork, and the project’s completion is expected to be in 2025.
Royal Enfield’s EV Plans: Two Different Platforms in the Works
There has been speculation that Royal Enfield is developing two different EV platforms. The first is an in-house platform codenamed L1A, which is rumoured to hit the road by 2025. There is also the EV platform from Spanish EV maker Stark Motorcycles.
First Royal Enfield electric motorcycle is expected to make its market launch in 2025. It will be a completely new machine, and not something that will be based on their existing motorcycle. Designed to be an EV from ground up, it is likely to come with a battery pack that will deliver a range of about 100-150 kms in real world conditions.
More Than Just a Production Plant – Meeting the Challenges of the Future
Royal Enfield’s existing Vallam Vadagal and Oragadam factories have a combined production capacity of above one million (10 lakh) units per annum. Then there is the Thiruvottiyur facility as well. Future EV production is expected to be a prominent role of this new plant.
Their expansion plans are in full swing, and the company’s new manufacturing facility in Cheyyar is an essential part of these plans. And it will play a significant role in fostering the manufacturer’s future growth. Royal Enfield is poised to take the Indian and global two-wheeler markets by storm with its growing product line-up, focus on increased exports, and EV plans.