Friday, 15 December, 2017

2020 - the year cars in India starts going electric

Toyota, Suzuki conclude Memorandum of Understanding for introduction of EVs in India Suzuki and Toyota to make electric cars in Gujarat from 2020
Cecilia Poole | 19 November, 2017, 02:00

The agreement stems from an MoU signed in February this year between the two firms to explore a partnership.

Though government of India has envisaged the deadline of year 2030 to go for all electric vehicles (EV), it the year 2020 which is going to the landmark when numerous automobile manufacturers operating in India will begin rolling out their pure electric models in the country, albeit in smaller numbers.

The terms of the MoU include that Suzuki will produce EVs for the Indian market and will supply some to Toyota, while the latter will provide technical support for the electric models.

Japanese automakers Toyota Motor Corp. and Suzuki Motor Corp. on Friday said they had agreed to ally to introduce electric vehicles (EVs) in India by around 2020. "Additionally, Toyota and Suzuki intend to conduct a comprehensive study of activities for the widespread acceptance and popular use of EVs in India", said a spokesperson of Suzuki Motor Corporation in a statement.

Nissan, another Japanese company is said to be planning a trial in India for its EV auto Leaf which it expects to commercially launch by 2020.

As India counts high on electric vehicles, the global scene seems to be much more agile and committed in taking the pace.

The decision towards electric mobility from the automobile giant comes at a time when the government has been aggressively pushing the idea of complete electrification of vehicles by 2030.

According to analysts, Suzuki being the market leader in India desperately needs an EV and cannott give away this opportunity to Tata Motors and Mahindra & Mahindra. Sources said Suzuki could make electric motors and batteries at a recently opened plant in Gujarat where it also plans to construct lithium-ion batteries. "Suzuki, in turn, is expected to gain from Toyota's innovations in automated driving, artificial intelligence and low-emission vehicles", Reuters reports. Suzuki may also get Toyota's 5% stake in the dare to quick track its electric vehicle venture.

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