Ashok Leyland Begins Construction of Battery Pack Manufacturing Facility in Tamil Nadu to Strengthen Electric Mobility Ecosystem

Ashok-Leyland-Wins-Large-MSRTC-Bus-Order
Image Courtesy: Ashok Leyland

Ashok Leyland, the flagship company of the Hinduja Group and one of India’s largest commercial vehicle manufacturers, has commenced construction of a new battery pack manufacturing facility at Pillaipakkam near Chennai, Tamil Nadu. The greenfield project represents a major step in strengthening the company’s electric mobility capabilities and supporting the development of a domestic EV component ecosystem.

The new facility will involve an investment of approximately ₹400–500 crore and forms part of the broader investment commitments made by the Hinduja Group under a memorandum of understanding signed with the Government of Tamil Nadu in September 2025. Once operational, the plant will focus on the production of advanced battery packs designed for electric commercial vehicles and related applications.

The foundation plaque for the project was unveiled by Tamil Nadu Chief Minister MK Stalin. The ceremony was attended by TRB Rajaa, the state’s Minister for Industries, Investment Promotions and Commerce, along with senior officials from Guidance Tamil Nadu and representatives from the State Industries Promotion Corporation of Tamil Nadu. Senior leadership from Ashok Leyland, including Managing Director and CEO Shenu Agarwal, also participated in the event.

The upcoming manufacturing unit will play an important role in localizing battery pack production for electric vehicles in India. By establishing domestic manufacturing capabilities for critical EV components, the project aims to strengthen the country’s electric mobility supply chain while reducing dependence on imported technologies.

The facility is also expected to generate employment opportunities and support the development of specialized skills in advanced battery manufacturing and electric vehicle technologies. Tamil Nadu has emerged as a key destination for automotive and EV investments, and the new facility is expected to further reinforce the state’s position as a major hub for next-generation automotive manufacturing.

Dheeraj Hinduja, Executive Chairman of Ashok Leyland, said the new project reflects the company’s long-standing relationship with Tamil Nadu and its commitment to advancing sustainable mobility solutions. “For more than seven decades, Ashok Leyland’s growth has been closely linked with the development of Tamil Nadu as an industrial powerhouse,” Mr Hinduja said. “Together with our subsidiary Switch Mobility, we have already introduced a wide portfolio of electric commercial vehicles and established a strong presence in the EV segment. The new battery pack manufacturing facility represents another important step in building a comprehensive electric mobility ecosystem in India.”

Shenu Agarwal, Managing Director and CEO of Ashok Leyland, highlighted the importance of battery technology in the evolution of electric transportation. “Battery packs are a critical component of electric mobility and energy storage systems,” Mr Agarwal said. “This facility will allow us to design and manufacture advanced battery pack solutions with improved efficiency, safety and performance while supporting the localization of the EV supply chain. It will also help create opportunities for skilled talent and advanced manufacturing capabilities in Tamil Nadu.”

Ashok Leyland has played a major role in the industrial development of Tamil Nadu for more than 77 years. The company established its first manufacturing facility in Ennore in 1948 and has since expanded its operations significantly across the state.

Today, the company operates nine manufacturing facilities across more than 800 acres of land in Tamil Nadu. Over the decades, Ashok Leyland has invested over ₹9,000 crore in the state and has contributed to the creation of more than 37,000 jobs, helping to build a strong manufacturing and engineering ecosystem.

The battery pack manufacturing project also aligns with several national and state initiatives promoting electric mobility and clean transportation. These include Tamil Nadu’s Electric Vehicle Policy 2023, the Government of India’s National Mission on Transformative Mobility and Battery Storage, and the country’s long-term goal of achieving net-zero emissions by 2070.

By expanding its EV manufacturing capabilities, Ashok Leyland aims to accelerate the adoption of electric commercial vehicles while supporting the broader transition toward low-emission transportation. The new facility marks another milestone in the company’s journey toward sustainable mobility, combining advanced manufacturing, local innovation and long-term investments to support India’s evolving electric vehicle industry.

Ashok Leyland is one of India’s leading commercial vehicle manufacturers and a flagship company of the Hinduja Group. Founded in 1948 and headquartered in Chennai, the company is known for producing a wide range of trucks, buses, defense vehicles, and special-purpose vehicles. Ashok Leyland has played a significant role in developing India’s public transportation and logistics sectors, with its buses widely used by state transport undertakings across the country. The company is also expanding globally, exporting vehicles to several countries and focusing on innovation, sustainability, and alternative fuel technologies to meet future mobility needs.