Hero Electric has signed a memorandum of understanding (MoU) with the government of Rajasthan to set up an electric scooter manufacturing unit in the state. The electric scooter plant will have an annual production capacity of two million units. Production is set to begin by the end of 2023, according to a company announcement.
Hero Electric will set up the electric scooter manufacturing plant in Rajasthan’s Salarpur industrial region. The company plans to invest over ₹1,200 crore on a facility spread over 170 acres. Hero plans to make use of the latest equipment and robotics along with using renewable resources like solar energy to manufacture electric scooters in the plant.
Hero Electric said the manufacturing unit will be used to manufacture all existing and upcoming Hero Electric scooters. The plant will have an annual capacity of two million units.
Subscribe to OnsitegoGet the latest technology news, reviews, and opinions on tech products right into your inbox
Hero Electric had earlier tied up with Mahindra to manufacture its electric scooters in the latter’s Pithampur manufacturing facility. The first batch of the company’s electric scooters rolled out of the plant a few months back.
“This mega manufacturing facility is part of our capacity enhancement to boost EV adoption across India. It will allow the state to spearhead a clean mobility solution shift and promote ecological tourism practices,” said Naveen Munjal, managing director, Hero Electric.
“A greenfield facility of this mega size and large budget gives us the opportunity to introduce very energy efficient green manufacturing processes with a healthy blend of automation, using the clean solar energy that the state provides. We would work closely with the government to create the largest and the best electric two-wheeler manufacturing cluster in north India that would have a complete ecosystem of ancillaries to help the overall development of the rural zones in and around Salarpur,” said Sohinder Gill, CEO, Hero Electric.