Automotive industry in Chennai

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In the year 2008, Tamil Nadu had over 16 million 2 and 4-wheeled vehicle registrations.[1] The 4-wheeler vehicles in Chennai is the base of 30% of India's automobile industry[2] and 35% of its automobile component industry.[3] Chennai is the fourth largest metropolitan city of the country.

A Heavy Vehicles Factory is also established in Avadi (23 km Northwest of Chennai) in collaboration with Russia to produce military related vehicles. Avadi also boasts of Combat Vehicle Research & Development Establishment (CVRDE), a new engine testing facility.

Major Automotive Manufactures[edit]

Company Description Product
Ashok Leyland Ashok Leyland is a commercial vehicle manufacturing company based in Chennai, India. In 1948, Ashok Motors was set up in what was then Madras, for the assembly of Austin Cars. The Company's name changed soon with equity participation by British Leyland and Ashok Leyland commenced manufacture of commercial vehicles in 1955. Ashok Leyland has six manufacturing plants: a plant at Ennore near Chennai, two plants at Hosur (called Hosur I and Hosur II, along with a press shop), and the assembly plants at Alwar and Bhandara. 18 seater to 82 seater double-decker buses, 7.5 tonne to 49 tonne in haulage vehicles, special application vehicles, and diesel engines for industrial, marine and genset applications.
Ashok Leyland - Nissan JV Nissan and Ashok Leyland formed a Joint Venture to set up a Light Commercial Vehicle (LCV) plant at Pillaipakkam, 40 km from Chennai. Have Launched 1.25-tonne diesel truck named DOST
BMW A state-of-the-art assembly plant for BMW 3 and 5 Series started operation in early 2007 in Chennai. Construction of the plant started in January 2006 with an initial investment of more than one billion Indian Rupees. The plant started operation in the first quarter of 2007. Produces the different variants of BMW 3 Series.BMW 5 Series.BMW 7 series. BMW X1.BMW X3.MINI COOPER
Daimler Daimler is establishing a plant in Oragadam, Chennai to produce trucks to cater to Indian Markets. The plant will have an initial production capacity of 36,000 vehicles a year. The plant started operation in the second quarter of 2012. The integration of Daimler Buses, India into DICV took place on 1 April 2013. Construction work of Daimler Buses, India is yet to start in 2014. Start of production is expected to be by year of 2015. Produces trucks with Brand name of BharatBenz and buses with the Brand name of Mercedes-Benz and BharatBenz
Ford Ford entered India in collaboration with Mahindra & Mahindra in 1995 with a plant in Tamil Nadu. The first model was the Escort. In 2009, Ford invested $500 million to increase its capacity to 200,000 cars per annum. Escort (discontinued)
Mondeo (discontinued)
Fusion (discontinued)
Hindustan Motors Hindustan Motors has a plant in Tiruvallur, Chennai. Trekker (discontinued)
Landmaster (discontinued)
Contessa (discontinued)—5th generation Vauxhall Victor
Ambassadora version of the 1950s Morris Oxford.
Hyundai Hyundai entered India in 1996 and in 1998 launched Santro, back in 1998 the Santro's original arch rival was the Maruti Zen, the Hyundai brand was virtually unknown in the Indian market. But now Hyundai has good market share primarily because of its entry-level small cars Santro and i10. Along with its plant in Sriperumbudur, it set up a second plant thereby raising its total capacity to 600,000 cars per annum. Santro - 2nd generation Hyundai Atos
i10 - brand new small car, global launch in India in 2007
Getz (discontinued)
i20 - brand new small car, global launch in 2008
Accent - 2nd generation Accent
Verna - 3rd generation Accent
Elantra (discontinued) - 3rd generation Elantra
Terracan* (discontinued)
Mitsubishi Mitsubishi entered India in 1998 as a part of its global expansion programme. It has a manufacturing facility in Chennai with technical collaboration with Hindustan Motors. Mitsubishi's plant in Chennai currently has a capacity of 6,000 cars per annum which will increase to 24,000 cars per annum in a few years. Lancer - 6th Generation Mitsubishi Lancer
Lancer Cedia - 7th generation Mitsubishi Lancer
Pajero* - 2nd generation Mitsubishi Pajero
Montero* - 3rd generation Mitsubishi Pajero
Nissan Nissan entered India in 2005. It is currently is setting up a full-scale manufacturing plant in Oragadam situated about 45 km from Chennai. The plant will have a capacity of 200,000 cars per annum. It plans to introduce 9 new models in India in the coming months including its small car Micra. Teana*
Datsun Go
Renault Renault entered India in 2007 in a Joint venture with Mahindra. It is currently is setting up a full-scale manufacturing plant in Oragadam situated about 45 km from Chennai. The plant will have a capacity of 200,000 cars per annum. It plans to introduce many new models in India, particularly to attract small car buyers. Logan, Pulse, Scala, Fluence, Duster and Koleos
Royal Enfield In 1956 Enfield of India started assembling Bullet motorcycles under licence from UK components, and by 1962 were manufacturing complete bikes. Enfield of India bought the rights to use the Royal Enfield name in 1995. Royal Enfield production, based in Tiruvottiyur, Chennai, continues and Royal Enfield is now the oldest motorcycle brand in the entire universe still in production with the Bullet model enjoying the longest motorcycle production run of all time. * Classic (350 & 500 cc) - close to the original 1955 specification with some basic modifications, 5 speed gear box and left foot gear shift.
* Bullet 500 ES - Classic with electric start and 4-speed gearbox
* Bullet Continental - US model 350 or 500 with 4 speed gearbox with left foot gear change.
* Bullet Sixty-5 - Bullet 500 ES with new 5 speed gearbox and left foot gear change.
* Lightning 535cc - 4 speed cast iron engine. Cruiser model on which the Thunderbird is based.
* Thunderbird (350 cc)- New 5 speed gearbox, left foot gear change, stylish look with dual colour/shade body, curved handle bars and electric start. It is also compliant with UK/EU emission standards.
* Bullet Electra-X (500 cc) - Much modified/re-designed lean burn, alloy barreled engine with the new gearbox and many chassis modifications. The Electra-X looks like a modified and improved Bullet.
* Bullet Machismo 350/500
* Mini-Bullet 200
* Fury
* Explorer
* Silver plus
* Mofa a 22 cc shock-absorber-less mobike.
TAFE Tractors TAFE Tractors has plant in Sembium, Chennai
Yamaha Yamaha’s plant will be its biggest in India and will manufacture scooters.

Major Tyre Manufacturers[edit]

Major tyre manufacturing companies alone have committed investments around $5 billion in Tamil Nadu of which 90% is in this corridor. A number of tyre manufacturing companies have set up factories in this corridor and are as follows.

Company Plant Locations Investments (crores of INR)
Apollo Tyres Oragadam 2100
Bridgestone oragadam
Dunlop Ambattur Closed due to Labour unrest.
JK Tyres Sriperumbudur 1000
Michelin Thervaikandikai 11000 (4000 Phase 1 till 2016)
MRF Arakkonam, Tiruvottiyur (2 plants) 1400

List of other notable Automobile and Auto components manufactures[edit]

The following auto and auto component companies have their manufacturing plants in and around Chennai.

The other competitors for the automobile industry and for its title include Thailand & Shanghai, China.

List of Agencies working for the development of Automobile Industry in Chennai Region[edit]


  1. ^ "Automobile Industry India". Imagin Mor Pty Ltd. 
  2. ^ Sivalingam, T; Bhaskaran, E (2004). "IT applications in Automotive Industry". GCMM 2004 first international conference on manufacturing and management (Alpha Science International, Limited): p. 20. ISBN 978-81-7319-677-5. Retrieved 2008-04-12. 
  3. ^ "Automotive Components". Department of Scientific and Industrial Research, Govt. of India. Archived from the original on 30 April 2008. Retrieved 2008-04-12. 
  4. ^
  5. ^

External links[edit]