KATHMANDU: Royal Enfield is set to boost its annual production capacity, increasing output from 1.46 million units to 2 million units, according to reports from Indian media.
Parent company Eicher Motors has approved an investment of approximately USD 115 million to support the expansion.
The company’s existing manufacturing facilities are operating close to full capacity amid rising demand. To address this, Royal Enfield will expand production at its Cheyyar plant in Tamil Nadu.
Work on the capacity enhancement is scheduled to begin in the first quarter of FY2026-27 and is expected to be completed by FY2027-28. The expansion will increase overall production capacity by about 37 percent.
In 2025, Royal Enfield recorded its highest-ever annual sales. The company sold 1.07 million motorcycles, crossing the 1 million unit milestone for the first time. Exports reached 132,132 units during the same period.