Bajaj Auto to Raise Chetak Monthly Production to 80,000 Units

By The Indus Pulse Editorial TeamUpdated 3 min read
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Bajaj Auto plans to raise monthly production of its Chetak electric scooter to approximately 80,000 units by the fourth quarter of fiscal year 2027, according to reporting by Autocar India. The manufacturing ramp-up represents an increase from current production levels of just over 62,000 units per month, driven by persistent domestic demand outstripping retail supply.

Joint Managing Director Rakesh Sharma described the target after Bajaj Auto’s second-quarter FY2027 financial results. Sharma stated that customer demand for electric two-wheelers continues to exceed current plant throughput, prompting operational debottlenecking across assembly facilities between January and March 2027.

Executive leadership noted that elevated material expenditures placed upward pressure on operational expenses during that period.

Capacity Normalisation and Manufacturing Realignment

Bajaj had previously been restricted to building only around 40,000 Chetak scooters monthly against an available factory capacity of 60,000 units due to component supply disruptions. While production has now returned to full operational capacity, management highlighted that incoming showroom bookings continue to outpace assembly volume.

Autocar Professional reported that Chetak revenue exceeded ₹2,000 crore in the quarter and unit sales more than doubled year on year, based on Bajaj’s earnings remarks.

Beyond existing production lines, the company is evaluating state proposals to establish a new sixth manufacturing facility in India. Sharma stated that an internal cross-functional team is assessing candidate locations to resolve broader capacity constraints affecting premium motorcycles and internal combustion engines. The automaker has not yet disclosed the proposed capital investment, production capacity, location, or implementation timeline for the prospective manufacturing plant.

Product Portfolio Expansion and Regional Adoption

To capture broader consumer segments, Bajaj plans to introduce fresh Chetak variants over the coming six months. While specific mechanical configurations remain undisclosed, product diversification is intended to widen customer appeal across commercial and urban commuter categories.

Industry data shared by Sharma indicates that electric two-wheelers currently constitute approximately 25 percent of total scooter purchases in India, with national penetration projected to touch 50 percent within the next three to five years. Adoption rates demonstrate marked geographic variation, reaching 40 percent in Odisha and between 30 and 35 percent in Maharashtra, compared with 10 to 12 percent recorded in Gujarat.

Sharma said Bajaj’s EV business had moved from reducing group margins to contributing positively, and described Chetak as operating at a double-digit margin.

Bajaj’s proposed production increase remains a target rather than completed capacity and depends on parts availability and manufacturing execution. The company has not disclosed technical specifications or release dates for its planned Chetak variants.

In August 2026, Bajaj Auto captured a 22.8% market share in the electric two-wheeler segment with 33,422 units, according to AutoPunditz.

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