Multiple EV companies plan manufacturing units and investments in Tamil Nadu

On 23 November 2021, the Tamil Nadu government signed MoUs with 59 companies in different sectors during the Investors Conclave organised by the Industries Department in Coimbatore.  According to a State Government Press Release, a total of 82 initiatives were announced, comprising 59 MoUs and 13 other projects for which foundation stones were laid and 10 commercial production launches, which entail a total investment of Rs 52,549 crore and are expected to create job opportunities for 92,420 people.

MoUs with focus on electric mobility

It should be noted that two of the most prominent EV companies in India – Ather Energy and Ola Electric already have their products units set up in Hosur, Tamil Nadu.

Among the recently signed MoUs, there were many focused on bringing electric mobility projects to the State. Below is a list of companies from the EV ecosystem who signed for MoUs with the Tamil Nadu Government:

Investment commitments from EV companies

1. Tamil Nadu chief minister M K Stalin inaugurated Ampere Electric Vehicles Mega Site at Ranipet, Tamil Nadu. The EV Mega Site is part of the INR 700 crore investment roadmap laid by Greaves Electric Mobility.

2. TVS Motor Company, which has a factory in Hosur located just outside Bengaluru, will invest Rs 1,200 crore over 4 years for setting up an e-scooter factory in Krishnagiri district.

3. Electric 2W maker Simple Energy will set up two units in Krishnagiri and Dharmapuri districts at an investment of Rs 1,000 crore.

4. EV OEM Raptee Energy intends to invest Rs. 470 Crore in Tamil Nadu and create 3,560 employment opportunities, both directly and indirectly, over the course of 8 years. Along with acquiring a 36-acre land property, Raptee plans to utilize the manufacturing incentives and the capital subsidies gained from the MoU to kick off production and sustainably ramp up volumes in the coming years. 

5. EV Charging solutions company Magenta will invest close to Rs. 250 crores in the state and set up a manufacturing unit focused on the design, product development and architecture standards for EV technologies in the e-mobility space. The move is expected to create around 500 jobs in the next two years in Tamil Nadu.

6. Tamil Nadu-based electric charging infrastructure company Zeon Charging will invest Rs 250 crore in setting up 400 EV chargers across Tamil Nadu. This investment which is over a period of five years is especially for setting up chargers in Tamil Nadu and have identified locations and will add these chargers at 70-100 locations within the next two years. Beyond that, over the next five years, Zeon will have 300 locations across the state both in the city and on highways.

7. The CM also laid the foundation stone for Qmax Ion at Thiruporur, Chennai for producing Li-ion battery packs with an investment of Rs 525 crore. According to an ET report, the plant is expected to and start production in another 18 months and have an annual production capacity of 500 MW.