The automaker plans to set up a global capability center, expand production and engineering capabilities and set up a test track and a new office in Karnataka.
11 Feb 2025 | 6314 Views | By Kiran Murali
TVS Motor Company has signed a Memorandum of Understanding with the government of Karnataka to invest Rs 2,000 crore in the state over the next five years as it plans to set up a global capability center and expand production and engineering capabilities.
Besides global capability center and production ...
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TVS Motor Company has signed a Memorandum of Understanding with the government of Karnataka to invest Rs 2,000 crore in the state over the next five years as it plans to set up a global capability center and expand production and engineering capabilities.
Besides global capability center and production expansion plans, the two and three-wheeler maker plans include building a test track and a new company office infrastructure in the state.
“As we make progress towards our 2030 goals, the plan that we have outlined today will help deliver impactful solutions in personal and commercial mobility, setting new benchmarks,” Managing Director Sudarshan Venu said at the Invest Karnataka 2025 event on Tuesday.
"We envision a capability center that will draw top talent and great ideas, and have research capability to be the birthplace of next-gen bikes. The office and allied infrastructure will bring together engineers, designers, innovators, AI and ML experts, who will define what is next! Karnataka is a place where great ideas take off and we are excited to expand our footprint in the state.”
The company has three manufacturing facilities in India – Hosur (Tamil Nadu) and Mysuru (Karnataka) and Nalagarh (Himachal Pradesh). The Mysuru plant currently has an annual production capacity of 1.5 million vehicles, catering to both domestic and export markets.
TVS Motor noted that the Mysuru facility generated Rs 7,600 crore in revenue, of which Rs 1,200 crore comes from exports. The automaker plans to double both the export and total revenue from the Mysuru plant.
TVS Motor is betting on investments in electric vehicle technology and geographical expansion to grow its revenue in the future. The company has announced a partnership with Hyundai Motor India to explore advanced electric three-wheelers and micro four-wheelers.
While the discussions remain in the exploratory stage, Hyundai plans to provide design, engineering, and technology expertise, while TVS will focus on manufacturing and marketing these vehicles in India.
Autocar Professional exclusively reported that TVS Motor is planning to enter segments ranging from electric bicycles to mini trucks in a bid to become an end-to-end player in the burgeoning electric vehicle market.
Sources said TVS Motor is considering localizing the e-bike from its European subsidiary, SEMG while it is looking at an electric small commercial vehicle in 2026-27, which might require an all-new manufacturing line.
Last year, the automaker's Chairman Ralf Dieter Speth said that TVS Motor is transforming into a high-tech global mobility company, with electric vehicles as the fulcrum of its future growth.