Archive · 21 Jul 2026
TVS Motor Plans Q2 Price Hike Amid Rising Costs
TVS Motor Company announced that it will consider increasing prices in the second quarter to deal with rising costs of materials like steel, aluminum, and petroleum.
These costs have gone up because of conflicts in West Asia.
The company's managing director, KN Radhakrishnan, said they are watching the situation closely and will decide on price increases as needed.
TVS has also invested a lot of money in Norton Motorcycles, a British brand, and plans to launch four new motorcycles globally.
They are also expanding their production capacity for two-wheelers, three-wheelers, and electric vehicles.
This includes increasing their electric scooter production from 40,000 to 50,000 units per month and electric three-wheeler production from 20,000 to 30,000 units per month.
TVS Motor Company plans to increase prices in Q2 to offset rising commodity costs.
The company has invested ₹2,500 crore in Norton Motorcycles and plans to launch four new models globally.
TVS is expanding its production capacity for two-wheelers, three-wheelers, and electric vehicles.
The company aims to increase its annual two-wheeler manufacturing capacity to 8.3 million units.
Electric scooter production capacity will be raised from 40,000 to 50,000 units per month.
- Who
- TVS Motor Company
- What
- Plans to increase prices in Q2 to offset rising commodity costs and continues investment in Norton Motorcycles.
- When
- Announced during the company’s earnings call on Tuesday, July 21, 2026.
- Where
- Global markets including the UK, Europe, the US, and India.
- Why
- To offset rising commodity costs and maintain margins.
Price Increase Necessity
Cost Management
Price Increase
Price Increase Necessity
Necessary to offset rising commodity costs and maintain margins.
Cost Management
Cost optimization and management scale benefits can mitigate the need for price hikes.
- Company
- TVS Motor Company
- Managing Director
- KN Radhakrishnan
- Investment in Norton
- ₹2,500 crore
- New Product Development and Capacity Expansion Investment
- ₹3,500 crore
- Current Two-Wheeler Manufacturing Capacity
- 6.8 million units
- Expanded Two-Wheeler Manufacturing Capacity
- 8.3 million units
- Current Three-Wheeler Capacity
- 2.5 lakh units
- Expanded Three-Wheeler Capacity
- 4.2 lakh units
- Current Electric Scooter Production Capacity
- 40,000 units/month
- Expanded Electric Scooter Production Capacity
- 50,000 units/month
- Current Electric Three-Wheeler Production Capacity
- 20,000 units/month
- Expanded Electric Three-Wheeler Production Capacity
- 30,000 units/month