EV battery report: India embraces growing investments in EV battery industry

Jingyue Hsiao, DIGITIMES, Taipei 0


With an eye on catching up with electric mobility and creating an ecosystem, India launched a series of policies to encourage EV penetration and promote a localized supply chain.

As the local supply chain in India develops and matures, a DIGITIMES Asia report, "2022 EV battery value-chain outlook in Asia," provides the landscape of the early movers in India. Below is the summary of the report.

Currently, both the EV supply chain and market in India are in their early stage, with most local suppliers dependent on foreign cells imports and engaged in battery assembling. Low demand for EVs standing in stark contrast to neighboring China created little incentive for the development of the ecosystem.

However, with India's EV demand growing exponentially, a series of Make-in-India initiatives launched by the Indian government, followed by interests from companies of all sizes, investment in the EV supply chain in India is increasing.

Most automotive batteries suppliers in India are engaged in lithium-ion batteries and several developing supercapacitor and hybrid capacitor products. The battery materials industry is still nascent, with only one company, Epsilon Advanced Materials, producing anode and planning to foray into cathode for lithium-ion batteries.

Advanced economies' capital and technologies have been flowing into India in anticipation of a fast-growing EV market. Japanese automobile and components makers, such as Toyota, Suzuki, and Denso, have been spending on battery manufacturing in India, followed by US and European counterparts. Indian local giants are speeding up their transformation in battery technologies from lead-acid to lithium-ion and others.

Local and multinational firms in India are expected to expand production capacity between 2021 and 2025, and companies are starting to move from battery assembling to cell manufacturing, even battery materials production and battery recycling. It is early for India to build a mature and self-reliant EV battery industry, but with demand expected to rise, the EV battery supply chain is beginning to emerge.

source: RMI India,  Data compiled by DIGITMES Asia, March 2022

source: RMI India, Data compiled by DIGITMES Asia, March 2022

To get the full content of this article, you may download the report via "2022 EV battery value-chain outlook in Asia."

Editor note: DIGITIMES Asia just released a series of industry reports, focusing on the "2022 EV battery value-chain outlook in Asia." The reports are divided into 3 parts – Overview of East and Northeast Asia EV battery supply chains, Southeast Asia, India EV battery and material supply chains, and EV battery tech trends and promising startups. These member-exclusive reports are now available for EV Weekly Subscribers.