Emphasising that electric vehicles represent the future of transportation, Union Defence Minister Rajnath Singh said that the reliance on petroleum-based vehicles would gradually decline.
Asserting that Uttar Pradesh has emerged as a major hub of defence, the Lucknow MP stated that investments of over Rs 34,000 crore have already been made across six nodes of the state’s defence corridor.
According to sources, Rs 252 crore (approx) has been invested in the plant manufacturing EV buses in Lucknow.
Describing the facility “as a landmark for Uttar Pradesh’s industrial growth”, Rajnath Singh lauded the Hinduja Group and Ashok Leyland for completing the EV manufacturing unit in a record 18 months, far ahead of the projected timeline of 60 months.
“The reliance on petroleum-based vehicles would gradually decline. In this context, the Ashok Leyland EV unit will play a transformative role, contributing significantly to clean energy adoption and advanced manufacturing for both the state and the country,” he said.
Singh added, “The facility would serve as a major hub for skill development, preparing large numbers of young people for gainful employment and higher incomes in the years ahead”.
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‘Rs 34,000 cr invested in defence corridor nodes’
Addressing the gathering, Singh said India is no longer dependent on other countries for weapons, missiles or defence equipment as these are now being manufactured domestically, with a significant portion originating from Uttar Pradesh.
Singh said the defence corridor, spread across Lucknow, Kanpur, Jhansi, Agra, Aligarh and Chitrakoot, is producing arms, ammunition and components for fighter aircraft, with major firms setting up manufacturing units in the state.
“I have been told that investments worth around Rs 34,000 crore have been made in these defence corridor nodes,” he said.
Referring to the Uttar Pradesh Aerospace and Defence Unit and Employment Promotion Policy, Singh, said that the state is being developed as a major centre for large-scale defence production.
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Speaking on the occasion, Chief Minister Yogi Adityanath noted that the EV plant currently has an annual manufacturing capacity of 2,500 units, which will be increased to 5,000 units in phases. He said that the manufacturing plant has been established under the state’s FDI and Fortune 500 policy.
The MoU for the project was signed in September 2023, followed by the completion of the Letter of Intent and land allotment process in January 2024, said Yogi. The world-class manufacturing facility has become functional within just 18 months, he added.
Referring to the bus manufactured at the new plant, Yogi said it is a 17–18 seater vehicle priced at approximately Rs 15 lakh, designed for school transportation and inter-city connectivity. He said that the manufacturing of such vehicles will receive a boost under the state’s Electric Vehicle Policy. The CM also announced that the Hinduja Group will sign an MoU with the Uttar Pradesh government to provide skill development training to 10,000 youth annually at the facility.
“Over the past 8–9 years, the state has received investment proposals worth Rs 45 lakh crore. Of these, projects worth Rs 15 lakh crore have already seen groundbreaking ceremonies, while groundwork for another Rs 6 lakh crore is scheduled for next month. Projects worth an additional Rs 5 lakh crore are in the pipeline and will also move towards groundbreaking in Uttar Pradesh,” Yogi said.
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The CM asserted that the state currently contributes 9.5 percent to India’s GDP and that the state’s Gross State Domestic Product (GSDP) is expected to reach Rs 36 lakh crore by the end of the current financial year.
He noted that 55 per cent of the country’s mobile phones are manufactured and 60 per cent of its electronic goods are produced in the state. He added, “Uttar Pradesh today is home to over 18,000 startups, supported by 76 incubators, seven Centres of Excellence, and eight unicorns.”
“In 2024, Uttar Pradesh accounted for 19 per cent of India’s total electric vehicle market. The state has also emerged as a major beneficiary of the FAME I and FAME II schemes, with 700 electric buses currently operating across Uttar Pradesh,” Yogi said.
During the occasion, Ashok Leyland Chairman Dheeraj Hinduja said that this is the company’s first manufacturing plant in Uttar Pradesh. He said that wherever an Ashok Leyland plant is established, the local community benefits directly, and a positive impact will be seen in the state as well. Referring to the company’s “Road to School” initiative, he said that over 25,000 students from government schools in the state are being provided with nutrition and educational support.
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According to Ashok Leyland, the Lucknow plant has been designed with the future in mind. Through modern manufacturing technologies and digital processes, electric vehicles will be produced here at a rapid pace.
Lauding Chief Minister Yogi Adityanath, Dheeraj Hinduja said that the state has developed a strong and reliable ecosystem for industrial development and investment.
