Tube Investments to spend INR 3k crore on EV platforms
Tube Investments of India (TII) is on an accelerated growth path with respect to its electric mobility plans for EV via its subsidiary TICM, or Tube Investments Clean Mobility. The company has committed ₹3,000 crore over the coming period of three to four years to make this happen.
“We have very big investment plans,” said Arun Murugappan, executive chairman of TII, during a recent interaction with TOI. “Of the total investment, ₹450 crore is for a small commercial vehicle project that it is being done in partnership with Jayem Auto.“
He added that TII is also increasing its capacity to ensure that ₹3,000 crore is fully realized by 2027-28. It’s also a strong signal of the kind of commitment TII has put in for the electric vehicle space and the kind of pivotal role it wants to play in the reshaping to sustainable mobility for India.
TII’s Expanding Electric Mobility Ecosystem
This capex will be incurred on four EV product platforms, including a passenger and cargo three-wheeler, and a 55-tonne truck. An SCV is a commercial vehicle; it is a tractor. “We’ve already launched the passenger three wheeler which is being manufactured in our Ambattur plant in Chennai which has a 90,000 units a year capacity,” he said.
The company is currently selling about 1000 units a month. It has also launched the e-truck which is being made in its factory in Manesar. “The SCV will be out by the end of Q2 and the e-tractor by the beginning of next year,” he said. But beyond that, the company is “putting up a battery packing plant in Coimbatore which will also supply inhouse and go on stream by the end of this year,” said Murugappan. This is included in the INR 450 crore spend for the SCV project.
TII’s Expanding EV Portfolio: A Strategic Capex Plan
Tube Investments of India (TII) doesn’t limit itself to the focus on its core electric vehicle (EV) projects alone; it is also exploring opportunities within the broader e-mobility ecosystem.
He also pointed out the possibility of CG Power, a TII subsidiary, producing EV motors. According to him, this option looks good for the company. Besides, TII has been working with other partners who have put their money into the charging infrastructure. Murugappan said they are keeping an eye on how these initiatives unfold.
Its electric mobility subsidiary, TICM, is looking to diversify its product offering beyond simple EVs. E-cycles and e-rickshaws are the two products that can make strategic additions to their product lineup. In this regard, Murugappan added that TII has already initiated production of e-cycles and has received very promising export enquiries from Europe and the US. He also evinced interest in scaling up sales of e-cycles in the domestic market.
Though the current offerings do not include e-rickshaws, Murugappan says that they are certainly in the works. He also stated that e-rickshaws would be the next product following the e-three-wheeler cargo.