Greater Noida-based electric vehicle (EV) powertrain design and manufacturing company Tsuyo has raised ₹400 million (~$4.82 million) in a Pre-Series A funding round led by Avaana Capital.

The funding will be used to establish Tsuyo’s third greenfield manufacturing facility for high-wattage electric motors and transmission assemblies, as well as a second advanced research and development (R&D) center dedicated to power electronics, embedded systems, and prototype development.

The new manufacturing unit will focus on high-wattage electric motors ranging from 15 kW to 250 kW, with an initial annual production capacity of 20,000 units. The facility will include a dedicated vehicle-testing track and advanced end-of-line validation systems compliant with the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) Program and Faster Adoption and Manufacturing of Electric Vehicles (FAME) standards.

The R&D center will strengthen the company’s innovation pipeline by focusing on hardware-based embedded software, power electronics, and prototype development.

Tsuyo serves as a tier-1 supplier of integrated powertrain systems to major original equipment manufacturers (OEMs) catering to 3- and 4-wheelers, light commercial vehicles, heavy commercial vehicles, and off-road applications.

Tsuyo has delivered over 150,000 powertrain units across various EV applications, working with more than 25 OEMs. It also exports to Sri Lanka, Bangladesh, and the Philippines, with expansion plans for Southeast Asia, Japan, Korea, and Europe.

EV sales in India reached 560,637 units in the third quarter (Q3) of 2025, an over 12.5% year-over-year increase from 497,974 units. EVs accounted for 8% of the overall automobile sales, which totaled 5,796,216 units in Q3, according to data released by the Ministry of Road Transport and Highways through its Vahan Dashboard. India now has over 7.02 million registered EVs.

The PM E-DRIVE Program, with a total outlay of ₹109 billion (~$1.29 billion), focuses on providing demand incentives, deploying EVs, and developing charging infrastructure to support wider EV adoption.