Hyundai And Kia Join Hands With Exide Energy For Local EV Battery Manufacturing In India

  • Apr 8, 2024
  • Views : 884
  • 2 min read

  • bookmark
The locally manufactured batteries will bring down costs, helping the carmakers slot their upcoming EVs into a more competitive price point

In a bid to mark their presence in India’s battery development and production market, Hyundai and Kia have joined hands and signed a Memorandum of Understanding (MOU) with Exide Energy. The Korean carmakers have partnered with the Kolkata-based company for the local production of electric vehicle batteries, specifically lithium-iron-phosphate (LFP) cells.

These locally produced batteries will then power the future EVs from these marques. Not only is this plan in line with the government’s ‘Make-in-India’ initiative and carbon neutrality goals, but will also prove to be beneficial for the carmakers. That’s because the local production of batteries will naturally lower the overall production costs, which will translate into a lower selling price (as even the taxation on them will be much lower than assembled or imported units).

The partnership was signed off in South Korea, in the presence of big collar names from the respective companies. Here’s what Heui Won Yang, president and head, Hyundai Motor and Kia’s R&D Division, had to say: 

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

Also Read: Citroen C3 And C3 Aircross Prices Reduced For Limited Period

For the uninitiated, Exide Industries is an Indian battery manufacturer with over 75 years of experience in the lead-acid battery industry. Seems like the indigenous company had also identified the growth potential for EVs and the Indian automotive industry, as Exide Energy, which is actually a wholly owned subsidiary company of Exide Industries, was formed in 2022 itself. Their goal? To foray into the manufacturing of Lithium-Ion cells.

Get latest updates on
the automobile community
Login Now

We reckon this partnership will prove to be very instrumental in paving the way for Hyundai’s and Kia’s electric future in India. Both the carmakers have numerous nameplates like the Hyundai Creta EV and Kia Carens EV waiting to go electric, and we reckon this partnership is a step forward in bringing those vehicles closer to a launch. We are looking forward to what this collaboration brings, aren’t you?

See what our community has to say! NEW

India's largest automotive community

Explore Now
comminity image
Recently Visited
Select Category