Hero Electric accelerates EV dreams, to establish mega factory in Rajasthan

Hero Electric on Monday announced it had signed a Memorandum of Understanding (MoU) with the state government of Rajasthan for what it claims would be a mega factory for its electric scooters in the country. Hero Electric further outlines that this facility would have an annual capacity of pushing out around two million units.

The upcoming Hero Electric facility will be located in Salarpur industrial region - around 80 kms from the national capital of Delhi - and would be spread over an area of 170 acres. Production is slated to commence from 2023 onwards with state-of-the-art modern equipment and the use of robotics. There is also an emphasis on making use of sustainable and renewable sources of energy here.

The Hero Electric factory is being established at an estimated investment of over ₹1,200 crore and the company claims it will provide direct and indirect employment opportunities to people in the area. No figures of how many hiring would be made, however, have been provided. The company though underlines that this plant would further underline Rajasthan's credentials as an EV manufacturing hub. “We are thankful to the Rajasthan government for their support in setting up our third greenfield plant that will help promote a circular economy in the Salarpur industrial area," said Naveen Munjal, MD at Hero Electric. "This mega manufacturing facility is part of our capacity enhancement to boost EV adoption across India. It will allow the state to spearhead clean mobility solution shift and promote ecological tourism practices."

At present, Hero Electric has its major manufacturing facility in Punjab's Ludhiana and is one of the leading players in the electric scooter segment. The company also has over 850 sales and service centers located across the country and says it is expanding these numbers - crucial as it is looking to build on over five lakh units already sold by it in the Indian market.