Euler Motors, a commercial electric vehicle manufacturer with significant backing from Hero MotoCorp, has officially inaugurated a new dedicated four-wheeler manufacturing facility in Palwal, Haryana. This strategic investment, totaling Rs 100 crore, expands Euler Motors' manufacturing footprint to 40 acres and dramatically increases its annual production capacity to an impressive 24,000 vehicles.
Hero MotoCorp, led by Executive Chairman Pawan Munjal, holds a 36% stake in Euler Motors, underscoring its commitment to the burgeoning electric mobility sector. The new facility is specifically designed to produce Euler Motors' range of four-wheeler commercial vehicles, including the popular Turbo EV 1000, a one-tonne electric truck, and the Storm EV, which the company touts as India’s first commercial vehicle equipped with Advanced Driver Assistance Systems (ADAS).
Meeting Surging Commercial EV Demand
The establishment of this state-of-the-art plant comes at a pivotal moment as Euler Motors scales its four-wheeler business amidst a rapid increase in electric vehicle adoption within the commercial cargo segment. The company reports a significant rise in four-wheeler cargo EV penetration, climbing from approximately 1% to 5.8%. Euler Motors itself has captured an estimated 28% market share in this expanding segment.
The Turbo EV 1000, launched just ten months ago, has been a key driver of this growth. Euler Motors has seen its monthly four-wheeler sales skyrocket from around 40 vehicles in April of last year to approximately 800 vehicles by June this year, highlighting the strong market appetite for its electric offerings.
“India’s commercial mobility sector is at an important inflection point, with electrification gaining momentum on the back of supportive government policies, improving total-cost economics and the growing demand for sustainable last-mile mobility,” said Pawan Munjal, Executive Chairman, Hero MotoCorp.
Advanced Manufacturing and Strategic Partnership
At full operational capacity, the Palwal facility will run two shifts daily, supplemented by a third hybrid shift. It features an automated four-wheeler assembly conveyor line, dedicated assembly lines, a body shop, and an integrated battery-pack assembly line. Euler Motors emphasizes that its vehicles are designed and engineered in India, supported by a deeply localized supply chain.
Saurav Kumar, Founder & CEO of Euler Motors, highlighted the multifaceted nature of Hero MotoCorp's investment. “We have also partnered with some of their network team. They have helped us in growing faster. If you look at our network growth, we went from operating in 35 touchpoints to now operating over 100 touchpoints. That kind of growth has come in where they have played a significant part. A lot of their channel partners have opted for Euler Motors,” Kumar explained, underscoring the collaborative efforts in network and financing that extend beyond mere capital injection.
“We expanded from selling 40 four-wheeler vehicles a month last year in April to roughly 800 four-wheeler vehicles a month this year in June. With the scaling demand for Euler’s four-wheeler vehicles, this manufacturing facility now gives us the capacity to cater to that growing demand,” added Kumar.