Keto Motors Sets Up Rs 300 Cr Electric Bus Manufacturing Plant in Telangana, India

12-Dec-2025

Key Takeaways:

Keto Motors has signed an MoU with the Telangana government to set up a new electric bus manufacturing plant in Jadcherla.
The greenfield facility will involve an investment of Rs 300 crore.
The plant will manufacture electric buses ranging from 9 to 13 meters.
The project is expected to generate over 2,000 direct and indirect jobs within three years.

Keto Motors Private Limited, an electric vehicle manufacturer based in Hyderabad, has announced plans to establish a large-scale electric bus manufacturing plant in Telangana after signing a Memorandum of Understanding with the state government. The agreement was formalized during the Telangana Rising Global Summit 2025, underscoring the state’s continued focus on electric mobility and advanced manufacturing.

The MoU was signed in the presence of D. Sridhar Babu, Telangana’s Minister for Industries and Commerce, marking another major investment commitment in the state’s EV sector.

Greenfield Facility Planned at Jadcherla:

As per the agreement, Keto Motors will invest Rs 300 crore to develop a greenfield electric bus manufacturing plant at Jadcherla. The facility will focus on producing electric buses between 9 meters and 13 meters in length, catering to both city-based public transport systems and longer inter-city routes.

The company stated that the plant will initially have the capacity to manufacture more than 1,000 electric buses annually, with provisions to scale up production in line with market demand. The project is expected to support more than 2,000 jobs across manufacturing, supply chain operations, and associated services over the next three years.

Government Support and Policy Backing:

The Telangana government has committed to supporting the project by facilitating approvals and clearances through the TG-iPASS single-window system. Speaking at the event, Minister D. Sridhar Babu said the investment reinforces Telangana’s position as a leading destination for electric vehicle manufacturing in India.

He noted that projects like Keto Motors’ electric bus manufacturing plant help strengthen the EV supply chain, promote advanced manufacturing capabilities, and create employment opportunities for the state’s workforce.

Entry into the Electric Bus Segment:

Founded in 2018, Keto Motors is currently known for its electric three-wheelers designed for passenger and cargo applications. Its models, including Trilux and Bulke Plus, are already deployed across several regions for last-mile mobility.

The Jadcherla project marks the company’s entry into the electric bus segment, which it believes is facing a supply gap despite growing demand from public transport operators. According to Director Venkatesh Challa, the new facility will allow Keto Motors to address this shortage by building electric buses that meet domestic and international standards.

Focus on Integrated Mobility Solutions:

In addition to manufacturing, Keto Motors is also working on a unified digital ticketing platform intended to allow commuters to use a single ticket across autos, cars, and buses. The company believes this initiative can improve convenience for passengers while supporting better coordination across different modes of transport.

Commenting on the broader vision, Rajeev YSR, Group Chief Marketing Officer, said the company aims to reduce fragmentation in public transportation by enabling smoother integration across electric mobility options.

With the planned electric bus manufacturing plant in Jadcherla, Keto Motors is positioning itself as a key contributor to Telangana’s clean transportation goals while expanding its footprint in India’s electric vehicle market.

About Author:

Soham Bhattacharya, Automotive Sector Analyst

Soham Bhattacharya is an automotive industry analyst with 5 years of experience, focusing on market conditions, technological trends, and supply chain dynamics in automotive manufacturing. He specializes in electric vehicles, autonomous driving technologies, and the latest investment strategies shaping global automotive production. His work supports businesses in making data-driven decisions regarding manufacturing plant investments.

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