TVS Motor to Invest ₹2,000 Crore in Karnataka to Expand Operations

Key Highlights:

• TVS is investing ₹2,000 crore in Karnataka over five years to boost growth.
• The company plans to build a test track and new office infrastructure.
• TVS wants to bring in top talent to develop new bike technologies.
• The Mysuru plant makes 1.5 million vehicles a year.
• TVS has partnered with Hyundai to explore electric three-wheelers and small electric vehicles in India.

TVS Motor Company is investing ₹2,000 crore in Karnataka over the next five years. The company signed a Memorandum of Understanding (MoU) with the Karnataka government to set up a global capability center and expand production and engineering capabilities. 

TVS Motor Company, a two and three-wheeler manufacturer, is also planning to build a test track and new office infrastructure in Karnataka to support its future goals.

Vision of TVS Motor Company

TVS Motor Company shared its vision for a new capability center in Karnataka, which aims to draw top talent and great ideas for next-gen bike innovations. “Karnataka is where great ideas take off, and we’re excited to expand our footprint here,” the company stated. The center will bring together engineers, designers, AI and ML experts to shape the future of mobility. 

Leadership Insights

Managing Director Sudarshan Venu shared that these efforts will help TVS to achieve its 2030 mobility goals. He made this announcement at the Invest Karnataka 2025 event. He also highlighted TVS’s ambition to lead in personal and commercial mobility solutions.

Manufacturing Plants of TVS Motors 

Currently, TVS has three manufacturing plants across India: Hosur (Tamil Nadu), Mysuru (Karnataka), and Nalagarh (Himachal Pradesh). At present, the Mysuru plant produces 1.5 million vehicles annually, serving both domestic and export markets.

TVS revealed that the Mysuru facility generates ₹7,600 crore in revenue, with ₹1,200 crore coming from exports. The company is planning to double both its export and total revenue from this facility as part of its growth plans.

Electric vehicle (EV) technology

TVS Motor is betting on investments in electric vehicle (EV) technology and expanding its market reach to boost future revenue. As part of this strategy, TVS has announced a partnership with Hyundai Motor India to explore new advanced EVs, including electric three-wheelers and micro four-wheelers.

Although the discussions are still in the early stages. The plan is that Hyundai will bring its design, engineering, and technology expertise to the table. TVS will handle the manufacturing and marketing of these vehicles within India.

As per sources, TVS Motor is exploring the idea of localizing an electric bike from its European subsidiary, SEMG. The company is also said to be considering to explore the electric small commercial vehicle segment around 2026-27, which might require a new manufacturing line. 

The automaker is planning to expand its electric vehicle offerings across a range of segments, from electric bicycles to mini trucks, as it seeks to become an end-to-end player in the growing electric vehicle market. However, these developments are still in the early stages and have not been officially confirmed.

Also Read: TVS Motor Q3 FY25 Financial Results: Profit and Revenue Growth

CMV360 Says

TVS Motor's investment in Karnataka is a smart move to grow its business and focus on electric vehicles. Building new offices and a test track shows they’re planning for the future. The partnership with Hyundai will help bring more electric vehicles to India, which is exciting for the market.