Uttar Pradesh Chief Minister Yogi Adityanath, along with Defence Minister and Lucknow MP Rajnath Singh and Union Heavy Industries Minister H.D. Kumaraswamy, jointly inaugurated Ashok Leyland’s new electric vehicle manufacturing plant in the Sarojini Nagar Industrial Area near Lucknow Airport on January 10, 2026. The facility marks the Hinduja Group company’s formal entry into the clean mobility sector in the state, with a primary focus on producing electric buses for commercial use. The event underscores the state government’s push toward sustainable transportation and aligns with India’s broader goals of reducing carbon emissions in public and commercial mobility.
Spanning 70 acres, the plant was established following a Memorandum of Understanding (MoU) signed in September 2023, with land allotment completed in January 2024. Remarkably, construction of the facility was finished in just 18 months, reflecting efficient execution and strong coordination between the company and state authorities. The plant begins operations with an initial annual production capacity of 2,500 units, with plans to scale up to 5,000 commercial vehicles per year in subsequent phases.
The flagship product at the new facility is a range of 17-18 seater electric buses, specially designed for school transportation, staff shuttle services, and intercity travel. Priced at approximately Rs 15 lakh per unit, these buses are positioned as an affordable and eco-friendly alternative to conventional diesel models, targeting educational institutions, corporate fleets, and regional transport operators. Ashok Leyland has emphasized that the vehicles incorporate advanced battery technology and energy-efficient systems to ensure reliable performance and lower operating costs over time.
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The inauguration has been welcomed as a significant boost to Uttar Pradesh’s industrial and green energy landscape. The state government has been actively promoting electric vehicle adoption through incentives, charging infrastructure development, and policies aimed at attracting major manufacturers. This new plant is expected to create direct and indirect employment opportunities while contributing to the national target of increasing the share of electric vehicles in commercial fleets.
The event also highlights growing collaboration between the central and state governments, as well as private industry, in advancing India’s clean mobility agenda. With Uttar Pradesh positioning itself as a key hub for electric vehicle manufacturing and related ecosystem development, the Ashok Leyland facility is seen as a milestone that could pave the way for further investments in the sector. As production ramps up, the plant is poised to play a vital role in modernizing public and commercial transport in one of India’s most populous states.
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