Suzuki to invest $1.3bn in India to make EVs and batteries
Japan’s Suzuki Motor said on Sunday that it is looking to build a new factory in Gujarat, India which will be producing electric vehicles (EV) and batteries. The aim for the company is to have the facility running by 2026 as they are looking to change their strategy for the green mobility market.
The automaker company are all set to invest around $1.26bn on the upcoming plant and EV production.
Suzuki, which is the parent organisation of Maruti Suzuki which operates in India, are slowly looking to expand EV sales as the Indian government are also promoting clean energy vehicles as part of its decarbonisation effect, according to Kyodo News agency who cited various sources.
Along with the initiatives, Suzuki are also planning to allocate 1 trillion yen for research and development on hybrid vehicles and other forms of automotive electrification over five years.
The report comes as India and Japan launched a `Clean Energy Partnership (CEP)` for cooperation towards achieving sustainable economic growth during Japanese Prime Minister Fumio Kishida`s visit to India. The initiative was launched on the occasion of the 14th India-Japan Annual Summit.
"The partnership will lead to clean growth by boosting job creation, innovation and investments. It will also demonstrate to the world that India and Japan are at the forefront in delivering on the ambitious climate and sustainable development goals."
"The cooperation under this partnership will build on the work already being covered by the two sides under the foundation of the `India-Japan Energy Dialogue` established in 2007 and will substantially expand the areas of collaboration for mutual benefit," the statement read.
The battery plant is planned to be set up near an existing factory owned by Suzuki Motor Gujarat (SMG). It recently started a new production line to increase annual production at a fast pace.