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Keto Motors Signs MoU With Telangana Government to Set Up INR 300 Crore Electric Bus Plant at Rising Global Summit 2025

Keto Motors has signed a Memorandum of Understanding (MoU) with the Government of Telangana during the Telangana Rising Global Summit 2025, confirming plans to build a new electric bus manufacturing facility in Jadcherla. The greenfield project represents an investment of INR 300 crore and is expected to create more than 2,000 direct and indirect jobs as the state advances its clean mobility goals.

The MoU was formalised in the presence of D. Sridhar Babu, Telangana’s Minister for Industries and Commerce, reinforcing the state’s emergence as a key hub for next-generation EV manufacturing.

Under the agreement, Keto Motors will establish a state-of-the-art plant to produce electric buses ranging from nine to thirteen metres, catering to both intra-city and inter-city public transport needs. The company plans to scale operations over the next three years to meet rising market demand.

“The initiative demonstrates Telangana’s rapid progress toward becoming India’s EV capital. The government is committed to offering world-class infrastructure, supportive policies, and a strong ecosystem for sustainable mobility,” Babu said.

Keto Motors is also developing a unified digital ticketing platform that will allow commuters to use a single ticket across autos, cars, and buses—a move aimed at improving affordability, convenience, and operational efficiency.

Explaining the strategic direction, Rajeev YSR, Group Chief Marketing Officer at ThunderPlus, noted that today’s public transport often operates in disconnected segments. “Our mission is to create an integrated multi-modal electric mobility ecosystem. While our electric three-wheelers and four-wheelers address first- and last-mile travel, there are major gaps in the middle-mile bus segment. After extensive research, we have designed products that effectively address this long-standing challenge,” he said.

Keto Motors has already built a strong market presence in the L5 EV category through its Trilux (Passenger) and Bulke Plus (Cargo) three-wheelers, widely used for last-mile transportation. The newly signed MoU marks its entry into the electric bus market—one of the most essential yet underserved segments of public mobility.

Highlighting industry needs, Venkatesh Challa, Director at Keto Motors, said the sector is facing a significant supply shortage of electric buses, leaving many fleet operators unable to source vehicles on time. “Our Jadcherla facility will begin with a capacity of over 1,000 buses per year and will increase production depending on demand. We are committed to timely delivery, reliability, and world-class quality as we strengthen India’s EV manufacturing ecosystem,” he added.