Ultraviolette Automotive plans to invest ₹779 crore over the next five years in a new Tamil Nadu EV plant in Hosur, expanding its manufacturing capacity as the electric two-wheeler market grows and the company prepares to enter the mass-market segment.
The facility will initially produce 250,000 electric two-wheelers a year and can be expanded to 500,000 units, the Bengaluru-based company’s founders told Reuters. The plant will complement Ultraviolette’s existing facility near Bengaluru, which has annual capacity of up to 50,000 vehicles.
Hosur was selected partly because of its proximity to the company’s Bengaluru research and development centre and its access to an established automotive supply chain, Chief Technology Officer Niraj Rajmohan said. The investment will be funded through internal reserves, equity and future cash flows, with limited use of debt, he added.
The company said demand for its products, including the upcoming Tesseract scooter and Shockwave motorcycle, has outgrown the capacity of its current facility. “The demand we have for our products, including what is coming up next with the Tesseract and the Shockwave, is far more than the current facility can cater to,” co-founder and Chief Executive Officer Narayan Subramaniam told Reuters.
Ultraviolette currently sells premium electric motorcycles including the F77 and X47. It plans to launch the Shockwave at a price below ₹2 lakh and the Tesseract below ₹1.5 lakh, positioning the two models for a wider customer base than its existing premium offerings.
The company expects domestic demand for its scooters to reach at least 10,000 units a month, Subramaniam said. That would place Ultraviolette in competition with larger electric two-wheeler manufacturers such as Ola Electric and Ather Energy.
India’s electric two-wheeler sales exceeded 1.03 million units during the first eight months of 2026, according to government data cited in the report. Electric two-wheelers accounted for more than 10 per cent of total two-wheeler sales for the first time in August, while consulting firm McKinsey estimates that electric models could represent 40 to 45 per cent of two-wheeler adoption by 2030.
The report also linked rising interest in electric two-wheelers to concerns over the compatibility of older petrol vehicles with E20 fuel. The new Hosur capacity is intended to support Ultraviolette’s expansion as manufacturers compete for a larger share of India’s growing electric mobility market.
Ultraviolette said it sold more than 3,000 electric motorcycles globally during the first half of the year, compared with about 1,756 units for Zero Motorcycles and roughly 300 units for Harley-Davidson’s LiveWire. Exports to Europe and Latin America currently account for about 15 per cent of its sales, and the company expects that share to rise to 25 per cent within five years.
The planned investment will be implemented over the next five years, with the Hosur plant’s initial annual capacity set at 250,000 electric two-wheelers.
