Automobile and vehicle components maker TVS Motor has signed an agreement with Karnataka to invest Rs 2,000 crore over five years to set up a global capability centre (GCC) in the state and expand its operations in Mysuru.
A GCC is a captive unit set up by a company to carry out information technology (IT) and related business functions.
The two and three-wheeler automaker would also set up a new test track and office infrastructure, the Chennai-headquartered firm said at the signing of a Memorandum of Understanding (MoU) at the Global Investors Meet, Invest Karnataka 2025, on February 11.
TVS Motor is the world's fourth-largest two-wheeler company with 5.8 crore users globally.
“We envision a capability centre that will draw top talent and great ideas and have research capability to be the birthplace of next-gen bikes. The office and allied infrastructure will bring together engineers, designers, innovators, Al and ML experts, who will define what is next,” TVS Motor’s managing director Sudarshan Venu said.
The company’s Mysuru facility employs over 3,500 people with an annual production capacity of 15 lakh vehicles.
Export revenues from the Mysuru facility exceed Rs 1,200 crore, out of total revenue of about Rs 7,600 crore.
TVS aims to double exports and overall revenues from the Mysuru operations.
The company operates two other factories in India — in Tamil Nadu’s Hosur and Nalagarh in Himachal Pradesh.
The Karnataka government launched the new Industrial Policy 2025-30, aiming for a 12 percent annual growth rate in manufacturing, eyeing Rs 7.5 lakh crore in investments and generating 20 lakh jobs by 2030.
The state also launched an AI-powered single window system in partnership with Microsoft to fast-track industrial approvals and improve business efficiency.
Chipmaker Lam Research announced an investment of Rs 10,000 crore at the Invest Karnataka-2025, which will conclude on February 14.
Also read: Invest Karnataka: Mahindra, Jindal, and others unveil major investments on day 1
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