Royal Enfield announces $232 million manufacturing plant in Andhra Pradesh

Indian motorcycle maker Royal Enfield will invest about 22 billion rupees ($232.24 million) to establish a new manufacturing plant in the southern state of Andhra Pradesh, the company said on Thursday.

The new facility, to be developed in two phases, marks the company’s first major manufacturing expansion outside Tamil Nadu.

The first phase is expected to be completed by 2029, while the second phase is scheduled for completion in 2032.

Royal Enfield, a unit of Eicher Motors, said the plant will add around 900,000 units to its existing annual production capacity of about 1.46 million units as of the end of February.

The project is also expected to create roughly 5,000 direct and indirect jobs.

Andhra Pradesh has recently attracted investments from companies including Google, Reliance Industries and Adani Group, among others.

Royal Enfield said the investment is part of its long-term manufacturing expansion plans as demand for its motorcycles continues to grow.