Japanese Companies First Start To Be Strong! Will Build A Lithium-ion Battery Plant In India For $6.9 Billion

- Oct 30, 2019-

India has become a “potential stock” country for building battery factories. In August this year, the Indian media said that the Indian government plans to invest 500 billion rupees ($7 billion) to build a large lithium battery factory. As soon as this news came out, Tesla and China’s Ningde era, BYD and other companies expressed their views on the plan. Interested. And Japan’s battery market in India has been “first strong”.

It is understood that three Japanese lithium-ion battery companies jointly established a Automotive Electronics Power Co., Ltd. Automotive Electronics PowerPrivate Limited (AEPPL), the company's goal is to produce 30 million batteries by 2025.

The joint venture is jointly owned by Suzuki Motor, Toshiba and Denso. Suzuki Motor holds a 50% stake in the joint venture and Toshiba holds 40%. Denso holds the remaining 10%. The joint venture company has signed a memorandum of understanding with the Gujarat government to invest 49.3 billion rupees ($699.7 million) in Hansalpur, Ahmedabad, Gujarat, for the establishment of a lithium Ion battery production facility.

The investment will be divided into two phases. The initial phase will establish a production line for battery packs and modules by the end of 2020. The second phase will complete most of the remaining investment and achieve the goal of producing 30 million batteries per year. The built battery factory will supply lithium-ion batteries to Maruti Suzuki and Suzuki Motor Gujarat.

The Indian government disclosed earlier that it plans to build six super factories by 2025, each with a scale of 10 GWh. In order to successfully implement the plan, the Indian government has implemented a number of incentives. It can be expected that India will soon be among the largest battery producers.