TVS Motor Company is preparing to significantly scale up its production capacity as demand continues to grow across both domestic and international markets. The two- and three-wheeler manufacturer has announced plans to increase output by up to 15 lakh units within the next 12 months, with the expansion centred around its Hosur facility in Tamil Nadu.
At present, TVS Motor operates with an annual production capacity of around 68 lakh units. With the proposed ramp-up, this figure is expected to rise to approximately 83 lakh units per year. The move is aimed at addressing sustained demand across segments, including premium motorcycles, electric scooters, and three-wheelers.
The company's growth trajectory has been supported by strong sales performance. In FY26, TVS Motor recorded total sales of over 59 lakh units across its internal combustion engine (ICE) and electric vehicle portfolios. The brand has also strengthened its position in the electric two-wheeler space, led by the iQube scooter. In March 2026 alone, TVS sold 38,757 units of the iQube, registering a year-on-year growth of 46.26 percent.
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As part of its broader strategy, TVS Motor is also working towards scaling up electric vehicle production. Monthly output is expected to reach 40,000 units in the near term, with plans to further increase this to 50,000 units. This aligns with the company's focus on expanding its EV footprint amid rising adoption in India and overseas markets.
The Hosur facility will play a central role not only in boosting overall volumes but also in supporting future product lines. This includes upcoming premium motorcycles under the Norton brand, which are expected to cater to both domestic and global markets.
In addition to the current expansion, TVS Motor has earmarked a capital expenditure of Rs 3,500 crore for FY27. The investment will be directed towards product development, research and development, and manufacturing expansion. The company is also evaluating the possibility of setting up new production facilities in states such as Madhya Pradesh, Karnataka, Tamil Nadu, and Gujarat, although detailed plans are yet to be announced.