MG Motor to roll out affordable EV in 3-4 years, to set up battery unit here

MG Motor India plans to bring an affordable electric vehicle in next three to four years in order to gain the leadership in the country's EV market space, a top official said. The company is ready to launch MG ZS EV electric SUV early next year and will also set up a battery assembly unit for electric vehicles sold in the local market within two years.

"We want to be the leading player in the EV space, and we have the technology…(and) products," MG Motor India managing director Mr. Rajeev Chaba said. The company, which is owned by SAIC Motor, a Chinese firm, will start assembling ZS EV in the country. "Then we will (start) battery assembly operations in India, and that should happen hopefully in one to two years’ timeframe," said Mr. Chaba. The company plans to invest over and above Rs 5,000 crore (US$ 715.4 million) in the battery assembly unit by 2025.

MG ZS EV is likely to be priced at around Rs 25 lakh (US$ 0.04 million) and will be on the roads in Delhi-NCR, Mumbai, Bengaluru, Ahmedabad and Hyderabad. The SUV comes with a 44.5 KWh battery that delivers 325 km on single charge. MG Motor aims to produce 100 units of the vehicle every month, which can be increased to 200-300 vehicles per month depending on demand.

The company has also partnered with Fortum, Delta Electronics India and eChargeBays in order to meet the charging infrastructure demand and will set charging points across customers' residences, dealerships and some public places. It also plans to introduce a more affordable product which is expected to hit the road in next 3-4 years ad will help he company to enter in mainstream market. 

"To get into the mainstream, you need to bring the cost of EV on to the lower side", he said. Mr. Chaba also added "It is too early for me to say but definitely to democratise electric vehicles and give a taste to most of the car consuming population, you need to go to Rs 15 lakh (US$ 0.02 million) and Rs 10 lakh (US$ 0.01 million) and below as you go forward. So, definitely, we would like to be a part of that pie as and when the time is ready." MG Motor India aims to bank on the technology to attain leadership position in the electric vehicle segment.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.