Chennai, May 7, (CXO Media): Royal Enfield is set to expand beyond Tamil Nadu with a proposed Rs 2,200 crore manufacturing project in Andhra Pradesh, a move that could significantly increase the company’s production capacity in India.
The Andhra Pradesh State Investment Promotion Board (SIPB), chaired by Chief Minister N. Chandrababu Naidu, has approved the proposed project at Satyavedu in Tirupati district near the Tamil Nadu border. The investment includes a new manufacturing facility and a dedicated vendor park spread across 267 acres.
The project is expected to become one of the biggest automotive manufacturing investments announced in Andhra Pradesh in recent months. According to the state government, the facility could add nearly 900,000 units to Royal Enfield’s manufacturing capacity while generating around 5,000 direct and indirect jobs.
The first phase of the project will focus on building a supplier ecosystem through a vendor park, indicating a larger push to attract auto component companies into the state. The first phase is expected to be completed by 2029, while the second phase is targeted for 2032.
The investment comes as states compete aggressively to attract automobile and advanced manufacturing projects amid rising demand in India’s premium motorcycle market. Andhra Pradesh has been positioning itself as a manufacturing destination across mobility, electronics and industrial sectors.
State Industries Minister Nara Lokesh said the project reflects the state’s focus on bringing large industrial investments and creating employment opportunities in southern Andhra Pradesh.
