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Ashok Leyland Targets FY28 Launch For EV Battery Pack Plant Amid Localisation Push

Ashok Leyland Targets FY28 Launch For EV Battery Pack Plant Amid Localisation Push

India
May 29, 2026
Ashok Leyland is targeting the start of production at its upcoming electric vehicle ( EV ) battery pack manufacturing facility in the first half of FY28, as the commercial vehicle major accelerates its localisation strategy and expands its presence in India's electric mobility market. Battery Pack Facility On Track For FY28 Launch The company's management recently said the battery pack manufacturing project, being developed in collaboration with Chinese battery manufacturer CALB, is progressing according to schedule. Managing Director Shenu Agarwal said the company expects commercial production at the facility to commence during the first or second quarter of the next financial year. The plant is being established at Pillaipakkam near Chennai and will support Ashok Leyland's growing portfolio of electric buses and electric light commercial vehicles (e-LCVs). The battery pack facility forms part of the company's broader effort to localise critical EV components, reduce supply chain dependence, and improve cost competitiveness in the rapidly evolving electric commercial vehicle segment. Switch Mobility Drives EV Growth Ashok Leyland's electric mobility ambitions are being led by its subsidiary, Switch Mobility, which achieved profitability during FY26. The company reported strong growth across its electric vehicle portfolio during the year. Switch India recorded a 238% rise in electric bus sales, delivering 1,530 units during FY26. Sales of electric light commercial vehicles also increased by 56%, reaching approximately 1,600 units. According to Hinduja, nearly 15,000 electric buses have been tendered in recent months, indicating strong momentum in the segment. The company is also witnessing growing interest in heavier electric trucks. Hinduja noted that private fleet operators are increasingly adopting electric vehicles even in higher-tonnage applications, including 55-tonne commercial vehicles. Ashok Leyland recently inaugurated a new electric bus manufacturing facility in Lucknow, further strengthening its production capabilities as demand for zero-emission commercial transport solutions continues to grow. Industry-wide, battery pack localisation is emerging as a key priority for commercial vehicle manufacturers seeking greater control over supply chains while improving eligibility for government incentive programmes linked to domestic manufacturing.