Suzuki, Tata Motors and others to pump billions into India's EV market
- IBEF
- March 22, 2022
Suzuki Motor has made a splash in India's electric vehicle sector, announcing plans to invest Rs. 10,440 crore (US$ 1.37 billion) in its India factory to develop electric vehicles and batteries. The company signed a memorandum of understanding with Gujarat for the manufacture of electric vehicles and batteries in India, as well as pledged investments toward carbon neutrality. Suzuki Motor Gujarat Private would invest Rs 3,100 crore (US$ 406.53 million) by 2025 to increase battery EV manufacturing capacity and Rs 7,300 crore (US$ 957 million) to build plant car batteries.
Tata Motors is India's largest electric vehicle producer, so it's no surprise that the company is investing heavily in this area. Tata Passenger Electric Mobility, the company's electric vehicle business, had previously been formed (TPEML). Only passenger electric and hybrid vehicles will be the focus of the subsidiary Tata Motors agreed to sell an 11-15 % in TPEML to investors TPG Rise Climate and ADQ in October 2021, raising US$ 1 billion. The subsidiary is valued at approximately US$ 9 billion, and the capital infusion is scheduled for March 2022. Over the next five years, Tata Motors will invest US$ 2 billion in the company.
Mahindra and Mahindra, another automaker, is also betting big on electric vehicles, with plans to invest 3,000 crore (US$ 393.42 million) in electric vehicles in the near future. For its electric car sector, it recently established a partnership with Jio-BP, a joint venture between Reliance and BP. Hero MotoCorp is betting big on electric vehicles for two-wheelers. For electric scooters, Hero MotoCorp has chosen Ather Energy's fast-charging technology. The corporation owns a 35% investment in the electric vehicle startup
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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