TVS Srichakra Approves Rs 220 Crore Capex for Capacity Expansion at Madurai Plants

The board of directors of TVS Srichakra Limited has approved a capital investment of up to Rs 220 crore to expand production capacities at its manufacturing facilities located in Vellaripatti, Madurai. The decision was finalized during a board meeting on May 27, 2026, according to a regulatory filing submitted to the stock exchanges.

TVS Srichakra is the manufacturer and exporter of the TVS Eurogrip tyre brand. The total investment will be divided equally between the company's two wheeler and off highway tyre production lines, with each segment allocated up to Rs 110 crore. TVS Srichakra plans to fund the expansion project through a combination of internal accruals and debt instruments. The company stated that the capacity additions are intended to meet growing demand across both product categories.

For the two wheeler plant, which currently has an annual capacity of approximately 210 lakh to 235 lakh tyres operating at 80 to 85 percent utilization, the company will add a 5 percent capacity increment. This additional capacity is scheduled to come online during the first half of the 2028-29 financial year.

The off highway tyre segment, which currently produces approximately 75 to 85 metric tons per annum at 75 to 80 percent utilization, will see a larger capacity expansion of about 25 percent. This phase of the project is projected to be completed earlier, within the first half of the 2027-28 financial year.