Suzuki to Follow Tata Motors in Carbon Neutral | Indian EV market to Touch 150 billion by 2030
The EV market has seen a huge upsurge and most of the motor manufacturing bigshots have extended their interest in investing in Electric vehicles. The Indian EV market to touch 150 billion by 2030. The government is trying everything, from tax cuts to manufacturing incentives in the automobile sector, to kickstarting an EV revolution in the country.
Hello everyone , channel IM brings to you the latest and trending news regarding the automobile industry in this segment.
Suzuki motors invests 10440 Cr to produce electric vehicles (EVs) and batteries. They are planning on a 3 year launch.
Suzuki has maintained a sense of stoic silence against EV for past years even though they are the largest manufacturers of cars in India. The compound annual growth rate of the electric market is estimated to rise at 43.13%
Tata motor rules the current Indian EV market. They control 75% of India’s car market. But there could be a change to this pattern with the heavy investments and the 3-year launch plans that Suzuki has in store.
Suzuki Motor Corporation’s wholly-owned company Suzuki Motor Gujarat Pvt Ltd (SMG) will invest Rs7,300 crore for the construction of a battery plant near SMG’s automobile manufacturing unit by 2026. Another Rs3,100 crore for ramping up production capacity for electric vehicles by 2025. The company is expected to launch its first electric vehicle by 2025.
This would provide a well required acceleration as Maruti Suzuki witnessed a change in market share. Their shares have dipped from 50 to 43% in the past year. Other motors like KIA and Tata have seen a significant rise in their share market value. The Indian government has announced plans to roll out a production linked incentive scheme that proposes financial incentives to boost domestic manufacturing of Advanced Automotive Technology (AAT) products and attract investments in the automotive manufacturing value chain. The scheme has a budgetary outlay of Rs25,938 crore.
Suzuki’s next mission is to go carbon neutral EV with their small car range. Tata Motors, who have already set up a subsidiary for their EV range, will invest $2 billion over the next five years. The new company, Tata Motors believes, will leverage all the existing investments and capabilities of the parent company in addition to channelising all the future investments into electric vehicles and dedicated battery vehicle platforms and technologies, among others. Over the next five years, the company will also create a portfolio of 10 EVs while also partnering with Tata Power to create charging infrastructure to help with early adoption.
Hoping that the Mighty and powerful car manufacturers bring forth a sustainable and economical EV suitable for the Indian market.
