Auto companies are planning to invest $6 billion in India’s electric vehicle market.
As India begins to take incremental moves toward finding more sustainable solutions, electric vehicles (EVs) and e-mobility have become a new emphasis for various automakers.
MG Motors, Tata Motors, and a slew of other companies have already announced intentions to invest at least $35,040 ($5 billion) to reap the most benefits when electric vehicles ultimately come into India.
Maruti Suzuki is the most recent company to go onboard. On Sunday, the firm revealed intentions to invest Rs. 10,440 crore in Gujarat, India, to develop a new electric car and battery manufacturing.
By 2025, the business hopes to have inexpensive EV versions in India and Japan.
This is Maruti Suzuki’s first foray into electric vehicles. The business has previously stated that the Indian market is not yet ready for electric vehicle sales.
Other vehicle behemoths, however, are already working on their electrification strategies.
So far, Tata Motors’ investment plans of $15,000 (about $2 billion) are the largest in the Indian market.
It intends to use the funds to develop new products with various body shapes, pricing points, and driving range choices over the next five years.
Meanwhile, MG Motors is trying to raise $350–500 million (Rs 2,600–3,800 crore) to expand its capabilities and support future expansion in India. In addition, in order to attract new investors, the corporation is also considering forming an electric vehicle subsidiary.
According to a recent Catapult report, electric vehicles now account for less than 1% of total vehicle sales in India, but the sector is fast rising.
By 2025, the business estimates that the Indian e-mobility sector would be valued at at least ₹47,500 crores. According to the survey, two-wheelers account for 62 percent of the market, followed by three-wheelers at 37 percent.
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