Established Indian automaker Tata Group, through its business unit Agratas Energy Storage Solutions, formally inked a 130 billion rupees ($1.6 billion) electric vehicle battery factory deal, Reuters reports.
Apparently, the deal is a critical part of the government’s wider strategy to establish its own EV supply chain.
About the project
Both parties agreed to erect the new li-ion battery cell production plant in Sanand, northern Gujarat, according to Agratas Energy Storage Solutions and the western state of Gujarat government’s joint statement.
The new battery factory would initially be capable of 20 gigawatt-hour (GWh) manufacturing capacity that could be expanded twofold in a subsequent phase.
As for the schedule, the plant is expected to start construction in less than three years.
“The plant will go a long way in contributing to the development of the EV ecosystem in Gujarat and India.”
Vijay Nehra, an official in the Gujarat state government (via Reuters)
See Also:
- Tata Motors and Uber announce partnership for the deployment of 25,000 EVs in India
- Tata Motors leads in India EV sales with 2,426 units sold in January 2023
- Tata Motors unveils the New Tata Sierra: Available on Electric and Turbo-Petrol Versions
- Tata Motors: Tata Ace EV deliveries kicks-off
- Tata Motors, IndusInd Bank to offer electric vehicle financing to dealers
Notably, India’s automotive industry is nearly a trifle compared to its enormous population. As the country’s top electric automaker, Tata Motors will aid the government in ramping up its EV uptake and building its own supply chain through this project.
In the first month of the year, Tata dominated the Indian EV market with sales of 2,426 units. Apart from that, Tata is also set to erect its new battery factory for its brand, Jaguar Land Rover, in the UK.
