Ashok Leyland is set to deepen its presence in India’s electric mobility sector with plans to commence production at its upcoming electric vehicle (EV) battery pack manufacturing facility in the first half of FY28. The initiative forms a key part of the company’s strategy to localise critical EV components, strengthen supply chain resilience, and support the growing demand for electric commercial vehicles in the country.

The battery pack manufacturing unit is being developed at Pillaipakkam near Chennai in partnership with Chinese battery manufacturer CALB and is expected to play a significant role in Ashok Leyland’s long-term electric mobility roadmap.

Battery Pack Plant Progressing as Planned

According to the company’s management, the project is progressing on schedule, with commercial production expected to begin during the first or second quarter of FY28.

Managing Director Shenu Agarwal said the facility will cater to the company’s expanding portfolio of electric buses and electric light commercial vehicles (e-LCVs). The move is expected to improve localisation levels, reduce dependence on imported components, and enhance cost competitiveness in the fast-growing EV market.

Industry experts believe battery localisation is becoming increasingly important as manufacturers seek greater control over supply chains while meeting domestic manufacturing requirements linked to government incentive programmes.

Switch Mobility Continues to Drive EV Expansion

Ashok Leyland’s electric vehicle growth strategy is being spearheaded by its subsidiary, Switch Mobility, which achieved profitability during FY26.

The company reported strong growth across its electric mobility business during the financial year. Switch India recorded a 238 percent increase in electric bus sales, delivering 1,530 units during FY26. Sales of electric light commercial vehicles also witnessed significant growth, rising by 56 percent to around 1,600 units.

The strong performance reflects growing adoption of electric mobility solutions across both public transport and commercial logistics segments.

Electric Bus Demand Gains Momentum

The company noted that demand for electric buses continues to rise rapidly across the country. According to Hinduja, nearly 15,000 electric buses have been tendered in recent months, highlighting the accelerating shift towards cleaner public transportation.

Ashok Leyland is also witnessing increased interest in heavier electric trucks, with private fleet operators gradually adopting electric vehicles even in high-tonnage applications. The company believes this trend will create new growth opportunities as businesses focus on reducing emissions and operating costs.

New Lucknow Facility Strengthens Manufacturing Capacity

To support rising demand, Ashok Leyland recently inaugurated a new electric bus manufacturing facility in Lucknow. The plant is expected to enhance production capabilities and enable the company to meet growing requirements from state transport undertakings and private operators.

The expansion comes as India pushes for greater adoption of zero-emission transport solutions and strengthens its electric mobility ecosystem through supportive policies and infrastructure development.

Focus on Self-Reliance and Sustainable Mobility

The upcoming battery pack facility reflects Ashok Leyland’s commitment to building a more self-reliant EV ecosystem in India. By localising key components and expanding manufacturing capabilities, the company aims to strengthen its position in the electric commercial vehicle segment while contributing to the country’s broader clean mobility goals.

With rising demand for electric buses, e-LCVs, and heavy-duty electric vehicles, Ashok Leyland is positioning itself to play a larger role in India’s transition towards sustainable and energy-efficient transportation.

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