Tata Group to Build Rs 13,000 Crore EV Battery Plant in Gujarat
Tata Group of India has struck an agreement with the state government of Gujarat to establish a lithium-ion cell facility in the state.
According to the terms of the agreement, the lithium-ion cell manufacturer will invest approximately Rs 13,000 crore ($1.6 billion) in Sanand.
Agratas Energy Storage Solutions, a Tata Group subsidiary, inked the agreement.
According to sources, Tata Sons’ board recently decided to establish an EV battery plant. The battery cell plant’s initial capacity will be 20 GWh. The factory’s capacity could be doubled in the second phase of expansion.
Tata Motors now operates a facility in Sanand, Ahmedabad. In addition, the corporation has acquired the Ford Motors plant in Sanand, which is adjacent to its existing operation. The two plants will be merged in roughly a year, and work is already underway.
According to the company’s official announcement, development of the EV battery plant will begin in less than three years.
The joint statement said, “As the state government commits to a vision to reduce carbon emissions by increasing the production of electric vehicles, reliance on lithium-ion batteries will also increase significantly as EV usage increases. This project will help in establishing a lithium-ion cell manufacturing ecosystem in the state.”
Previously, Tata Motors-owned Jaguar Land Rover (JLR) announced a $15 billion investment in EVs over the next five years. Its future EV production will most likely take place in the United Kingdom.
According to last year’s sales figures given by the Federation of Automobile Dealers Associations (FADA), Tata Motors dominated the Indian EV market, which saw a five-fold increase in electric automobiles. Tata Motors sold 15,198 units in the previous fiscal year, compared to 3,523 units in 2020-21, for a market share of more than 85% in the vertical.
As part of its larger electrification effort, Ola Electric plans to develop a battery cell manufacturing plant in India with a capacity of up to 50 GWh. Startups, most notably Log9, are already making smaller efforts to establish cells in India. Currently, the country imports nearly all of its needs from China, with the cells integrated into battery packs in the country.
Join All India EV Community on LinkedIn