Royal Enfield, the two wheeler division of Eicher Motors, will invest Rs 500 crore in 2015 towards product development, capex and other development areas.

The activities include setting up two technology centres and increasing its production capacity to 4.5 lakh units annually. A technology centre will be set up in Chennai and another one in the United Kingdom.

The unit on 4.5 acre of land, on Old Mahabalipuram Road in Chennai, is the larger one and is expected to be operational by the second quarter of 2016. Royal Enfield has already completed the land acquisition process for this unit. The Chennai-based firm will increase its manufacturing capacity to 4.5 lakh units annually as against four lakh units at present.

Another centre is being set up in Leicestershire, UK, and will be ready by the end of 2015. Royal Enfield presently sells various models, including Bullet, Classic, Thunderbird and Continental GT. It plans to manufacture 4,50,000 units in 2015.

More Project Info:
Technology Centre (Chennai)