TVS Motor Company has outlined plans to invest approximately Rs. 3500 crore in FY2027 as part of its strategy to scale operations and strengthen its product pipeline. The proposed investment will be directed towards research and development, new product initiatives and expanding manufacturing capacity.
The company aims to increase its annual production capacity by around 1.5 million units over the next year. This will take its total installed capacity from roughly 6.8 million units to about 8.3 million units.
At present, TVS operates manufacturing facilities in Hosur, Mysore and Nalagarh, which collectively support its domestic and international demand. The planned expansion reflects the company’s response to sustained market demand and the need to accommodate future growth.
Alongside capacity expansion, TVS continues to scale its electric vehicle operations. Monthly production has already increased from approximately 30,000–32,000 units last year to nearly 40,000 units currently. The company is targeting a further ramp-up to around 50,000 units per month in the near term.
This push aligns with the broader industry shift towards electrification, as manufacturers increase investments in EV technology and production capabilities.
The investment plan indicates a dual focus on expanding manufacturing scale while also strengthening product development capabilities. By allocating funds across R&D and capacity, TVS appears to be positioning itself to compete more effectively in both conventional and electric two-wheeler segments.
