ASK Automotive Limited's board has approved a ₹35 crore capacity expansion to add 6 crore pieces per annum of brake shoes and disc brake pads through two new plants in Rajasthan, citing increased demand from GST 2.0 reforms
28 Jan 2026 | 297 Views | By Sarthak Mahajan
ASK Automotive Limited has announced a significant capacity expansion for its advanced braking systems division, targeting the two-wheeler segment. The company's Board of Directors approved the establishment of two new manufacturing plants in Rajasthan at leased properties, designed to produce brake shoes and disc brake pads.
The expansion will ...
This is an Autocar Pro Plus article. Subscribe to continue reading.
ASK Automotive Limited has announced a significant capacity expansion for its advanced braking systems division, targeting the two-wheeler segment. The company's Board of Directors approved the establishment of two new manufacturing plants in Rajasthan at leased properties, designed to produce brake shoes and disc brake pads.
The expansion will add 6 crore pieces per annum to the company's existing capacity of 26 crore pieces, representing a 23 percent increase in production capability. The new facilities are expected to be commissioned in the first quarter of fiscal year 2026-27, with the company investing approximately ₹35 crore in the project.
ASK Automotive currently operates at approximately 90 percent capacity utilization for its brake shoes and disc brake pads production lines. The company cited increased demand supported by GST 2.0 reforms as the primary rationale for the expansion, indicating strong market fundamentals for two-wheeler braking systems.
The capacity addition will be financed entirely through internal accruals, eliminating the need for external debt or equity financing. This approach reflects the company's healthy cash generation capabilities and conservative financial management strategy.
The disclosure was made pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and follows the guidelines outlined in SEBI Circular dated July 13, 2023. The announcement was communicated to both the Bombay Stock Exchange and the National Stock Exchange of India.
ASK Automotive Limited is listed on Indian stock exchanges under the scrip code 544022 on BSE and symbol ASKAUTOLTD on NSE, with ISIN number INE491J01022. The company specializes in manufacturing advanced braking systems for automotive applications, with a focus on the two-wheeler segment.