According to Reuters, South Korean automakers Hyundai Motor and Kia Motors announced on April 8 that they signed a memorandum of understanding with Indian battery manufacturer Exide Energy Solutions to purchase electric car batteries from the Indian company, thereby improving the competitiveness of the two companies in the Indian market.
Photo: Hyundai Motor, Hyundai Motor and Kia Motor said in a press release that the partnership with Exide Energy aims to purchase locally made battery products in India for its electric vehicle products, with a special focus on lithium iron phosphate (LFP) batteries.
Hyundai and Kia plan to expand in India.
India is currently the world’s third-largest car market and one of the four biggest revenue-generating markets for the two companies, along with the United States, South Korea and Western Europe.
Exide Energy, a subsidiary of Exide Industries, an Indian lead-acid battery maker, plans to start producing electric vehicle batteries by the end of this year.
Hyundai said it plans to invest about 3.
25 trillion won ($2.
4 billion) in the Indian market in the 10 years starting from 2023, including the launch of six electric car models and the deployment of charging stations by 2028.
Kia, for its part, says it plans to launch optimized small electric cars in India from 2025.
In addition, carmakers such as Tesla and VinFast are also planning to build electric vehicle production facilities in India.
According to Shin Yoon-chul, an analyst at securities firm Kiwoom Securities, “it is estimated that the average labor cost of Indian manufacturing is about 1/4 of that of Chinese labor costs, and India’s huge lithium mines will help carmakers who want to produce electric cars in the country have easier access to the necessary battery materials.
” , return to the first electric network home page >.
