Hyundai and Kia partner with Exide for EV battery localization in India

Hyundai Motor Company and Kia Corporation have signed a Memorandum of Understanding (MOU) with Exide Energy Solutions Ltd., a Kolkata-based battery company, as part of their electric vehicle (EV) expansion plans in India. The agreement aims to localize EV battery production, focusing on lithium-iron-phosphate (LFP) cells. This strategic move will enable Hyundai Motor and Kia to utilize domestically produced batteries in their upcoming EV models in the Indian market.

“India is a key market for vehicle electrification due in part to the government’s carbon neutrality goals, which makes securing cost competitiveness through localized battery production crucial,” said Heui Won Yang, President and Head of Hyundai Motor and Kia’s R&D Division. “Through this global partnership with Exide Energy Solutions Ltd., we will gain a competitive advantage by equipping Hyundai Motor and Kia’s future EV models in the Indian market with locally produced batteries.”

The signing ceremony occurred at Hyundai Motor Group’s Namyang Research and Development Center in South Korea. Attendees included Heui Won Yang, President of Hyundai Motor and Kia’s R&D Division; Chang Hwan Kim, Head of Electrification Energy Solutions Tech Unit; Duk Gyo Jeong, Head of Electric Vehicle Parts Purchasing Sub-Division; and Dr. Mandar V Deo, Managing Director and CEO of Exide Energy.

Exide Industries Ltd., based in Kolkata, is a leading supplier of lead-acid batteries. Its wholly-owned subsidiary, Exide Energy Solutions Ltd, was established in 2022 to enter the manufacturing of Lithium-Ion cells, modules, and packs.

The collaboration with Exide Energy marks the beginning of Hyundai Motor and Kia’s efforts to expand their involvement in battery development, production, supply, and partnerships in the Indian market. India is increasingly recognized as a significant automotive market globally, particularly in electric vehicles (EVs).