Suzuki Motor Corporation (SMC) has signed an MOU with the State of Gujarat, India to invest approximately 150 billion yen (approximately 104.4 billion rupees) for local manufacturing of electric vehicles (BEV) and BEV batteries.
The MOU was signed on 19 March 2022 at the India-Japan Economic Forum held in New Delhi, India, in the presence of Japanese Prime Minister Fumio Kishida and Indian Prime Minister Narendra Modi.
Toshihiro Suzuki, Representative Director and President, Suzuki Motor Corporation and Kenichi Ayukawa, Managing Director & CEO, Maruti Suzuki India Limited were joined by eminent senior government personnel of India and Japan at the ceremony.
“Suzuki’s future mission is to achieve carbon neutrality with small cars. We will continue active investment in India to realize Self-reliant India (Atma-nirbhar Bharat),” said Toshihiro Suzuki, Representative Director and President, Suzuki Motor Corporation.
According to a report by Mordor Intelligence the Indian Electric Vehicle Market was valued at USD 1434.04 billion in 2021 and is expected to reach USD 15397.19 billion by 2027 registering a CAGR of 47.09 per cent during the forecast period (2022 – 2027).
The report further explained that the COVID-19 pandemic had limited domestically produced electric vehicles owing to the shutdown of manufacturing facilities and lockdowns. However, as restrictions eased EV witnessed optimistic growth as consumers inclined towards affordable eco-friendly transportation supported by the government’s incentives.
Rising government emphasis and focus of private and government player’s partnership to enhance EV ecosystem in the country. Increasing investments and product launches by major OEMs into the country and their focus on localising supply chain facilities to create a positive outlook in the market.
In the month of February this year, Hero MotoCorp, one of the world’s largest manufacturers of motorcycles and scooters, and Bharat Petroleum Corporation Limited (BPCL) had announced their collaboration to set up charging infrastructure for two-wheeled electric vehicles (EVs) across the country.
