Ashok Leyland Invests in EV Battery Plant
Commercial vehicle major Ashok Leyland announced a ₹500 crore investment in a new battery pack manufacturing facility near Chennai. This underscores the sector’s pivot toward electrification and local supply chain development, spurred by rising fuel costs.
The ₹400-500 crore plant is being built in Pillaipakkam, near Chennai, and broke ground on March 11, 2026. This facility is part of a larger investment commitment made by the Hinduja Group after signing a memorandum of understanding with the Tamil Nadu government in September 2025. M. K. Stalin, the Chief Minister of Tamil Nadu, was present at the groundbreaking ceremony. Ashok Leyland has been present in Tamil Nadu for over seven decades and already has nine manufacturing plants there. They have invested over ₹9,000 crore in the state and created 37,000 jobs. The new plant will manufacture battery packs for electric vehicles, including buses and trucks. The new facility aligns with the Tamil Nadu Electric Vehicle Policy 2023 and the central government's National Mission on Transformative Mobility and Battery Storage. By localizing battery pack production, Ashok Leyland aims to reduce reliance on imports and strengthen the domestic EV supply chain. The company also has plans to develop LNG and hydrogen trucks.
