Royal Enfield has signed an MoU with the Government of Tamil Nadu for proposed investment of Rs 3,000 crore, over eight years, for brownfield and greenfield projects at Tamil Nadu Global Investors Meet 2024, in Chennai.
This investment will be majorly used for the development of new products, EVs (product development and capacity building) and also additionally for any capacity enhancement for ICE, whenever required. This investment is anticipated to create employment opportunities for up to 2,000 individuals, both directly and indirectly, further contributing to the socio-economic growth of the state of Tamil Nadu.
Key provisions of the MoU include the Government of Tamil Nadu’s assurance of necessary infrastructural support and regulatory facilitation in accordance with applicable laws. The government will also prioritise providing uninterrupted power supply and other essential infrastructure support on a best-effort basis to the company.
B Govindarajan, CEO – Royal Enfield, commented on the development stating “Tamil Nadu has been our home; anchor for our engineering, technical and manufacturing foundations for several decades. This strategic investment in Tamil Nadu marks a significant milestone for us at Royal Enfield. We extend our heartfelt gratitude to the Government of Tamil Nadu for their unwavering support, and we are eager to partner with the government and create a positive impact on the community and contribute to the state’s overall economic prosperity. In a bid to promote a healthy balance between man, machine and terrain, we look forward to delivering on our vision of manufacturing premium and evocative motorcycles that are Made in Madras and celebrated across the world!”
The manufacturing facilities in Oragadam and Vallam Vadagal have consistently demonstrated Royal Enfield’s commitment to deliver best in class products to address the evolving needs of customers across the globe. The upcoming expansion will not only strengthen Royal Enfield’s production capabilities but also contribute to the state’s position as a major automotive manufacturing hub.
Royal Enfield has also signed two similar Memorandum of Understanding (MOUs) back in Jan 2019 and May 2012 with the Government of Tamil Nadu. The commitments were completed before the stipulated investment period