Hero MotoCorp Plans Major EV Production Boost to Meet Rising Demand

Expanding Electric Capacity

For customers looking to purchase a Vida electric scooter, the wait times reflect a broader bottleneck in the industry. Hero MotoCorp, India’s largest two-wheeler manufacturer, is currently managing dealer inventory levels of just one day. This scarcity highlights a significant production constraint despite robust consumer interest.

Harshavardhan Chitale, CEO of Hero MotoCorp, said the company is prioritizing an aggressive expansion plan to address these supply shortages. The automaker currently produces 30,000 units per month, up from 15,000 at the end of the 2026 fiscal year. The company aims to reach a capacity of 45,000 units by the end of this March, with further scaling to 80,000 units per month by the second quarter of the 2028 fiscal year.

Market Dynamics and Competition

The push for higher production follows a surge in the electric two-wheeler market, where penetration in the scooter segment has surpassed 20%. Data from the Federation of Automobile Dealers Associations (FADA) shows that electric two-wheeler registrations rose 33% during the recent Navratri period, even as total two-wheeler registrations declined by nearly 3%.

Hero MotoCorp faces intense competition from market leaders TVS Motor, Bajaj Auto, and Ather Energy, all of whom are also scaling operations. TVS and Bajaj are targeting 80,000 units per month by March, while Ather aims for 95,000 units by the third quarter. Chitale noted that any manufacturer bringing new capacity online effectively captures immediate market share if the product meets consumer standards.

Beyond manufacturing, Hero MotoCorp plans to increase its distribution footprint. Vida scooters are currently sold through 700 retail outlets, a fraction of the company’s 8,500 total points of sale. The company expects this expanded retail presence to drive future growth as production capacity increases.