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Ashok Leyland, the Hinduja Group's commercial vehicle manufacturer, has announced plans to invest between INR 400 crore and INR 500 crore to establish a greenfield electric vehicle battery pack manufacturing facility at Pillaipakkam near Chennai, Tamil Nadu. The company held the groundbreaking ceremony for the facility earlier this week as part of the Hinduja Group's broader investment commitments under a memorandum of understanding signed with the Tamil Nadu government in September 2025. The plant is intended to support localisation of EV battery pack production and strengthen the domestic electric mobility supply chain. Ashok Leyland stated that the project aligns with Tamil Nadu's Electric Vehicle Policy 2023 and national initiatives such as the National Mission on Transformative Mobility and Battery Storage, which aim to expand India's EV manufacturing ecosystem and support the country's long-term net-zero emissions target for 2070.
Ashok Leyland, the Hinduja Group's flagship commercial vehicle manufacturer, has announced plans to invest up to INR 500 crore in establishing a greenfield electric vehicle battery pack manufacturing facility at Pillaipakkam near Chennai, Tamil Nadu, as part of its strategy to expand domestic EV manufacturing capabilities. Advertisement
The company held the groundbreaking ceremony for the facility earlier this week, marking the beginning of construction for the proposed plant. According to the company, the project will involve an investment ranging between INR 400 crore and INR 500 crore and forms part of the Hinduja Group's investment commitments outlined in a memorandum of understanding signed with the Tamil Nadu government in September 2025.
The upcoming facility will focus on the manufacturing of battery packs for electric vehicles and is intended to support Ashok Leyland's growing EV product portfolio. The company indicated that the plant will contribute to localisation of EV battery pack production, which is a key component of the broader electric mobility ecosystem in India.
Company officials stated that the project represents a step in the firm's efforts to strengthen its electric mobility strategy while supporting the development of a domestic supply chain for EV components. Ashok Leyland's executive chairman, Dheeraj Hinduja, indicated that the establishment of the new battery pack facility forms part of the company's ongoing efforts to build capabilities in electric vehicle technologies and infrastructure.
The Pillaipakkam location near Chennai has emerged as an industrial cluster for automobile and electric vehicle manufacturing, supported by proximity to automotive supply chains and port infrastructure in Tamil Nadu. Establishing the battery pack facility in the region is expected to support integration with the company's existing manufacturing operations and supplier networks.
The project is aligned with Tamil Nadu's Electric Vehicle Policy 2023, which aims to promote investment in EV manufacturing and develop the state as a major hub for electric mobility. The policy provides incentives and support measures to encourage manufacturers to establish EV production facilities, component manufacturing units and supporting infrastructure in the state.
Ashok Leyland also stated that the project is aligned with broader national initiatives, including the National Mission on Transformative Mobility and Battery Storage, which seeks to promote domestic manufacturing of advanced automotive technologies and battery systems. The initiative aims to strengthen India's position in emerging mobility technologies while reducing dependence on imported components.
India has set a long-term target of achieving net-zero carbon emissions by 2070, and the expansion of electric mobility is considered a key component of this strategy. Manufacturing investments in EV components, including battery systems, are expected to play an important role in supporting the transition towards lower-emission transportation systems.
With the establishment of the new battery pack manufacturing facility, Ashok Leyland aims to strengthen its role in the evolving electric commercial vehicle segment while contributing to the development of India's domestic EV manufacturing ecosystem.
Source - PTI
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