EV Automobiles: Revealed: Fueled by PLI, Indian automakers eye global EV dimension, focus on Europe and other developed markets

Domestic auto makers are seizing the export opportunity provided by the growing choice of clean mobility in developed markets, in addition to government support, to offer electric cars (EVs) at competitive prices.With Maruti Suzuki set to begin shipments of its first electric SUV in Europe early next month, Hero MotoCorp is preparing to launch its VIDA V1 electric scooter in France, Spain and the United Kingdom in the next few months. TVS Motor, which is exporting the electric scooter iQube to some Asian international locations, is preparing to move to the EU Union.

With large-scale, developed EV supply chains and ecosystems, these companies are leveraging proven skills in frugal production to boost Europe, where a quarter of auto sales are projected to be electric this time around.

“We should not think about only selling (EVs) in India. We should look at how India can sell EVs to the world,” Hero MotoCorp chief executive Niranjan Gupta had said in a recent conversation with ET.

The federal government is keen to develop India as an export hub for EVs.

in line with world needs
The Republic of India has a Rs 25,938 crore production-linked incentive (PLI) scheme, which allows local automakers and quality providers to compete outside the country for vacant mobility options, tough Chinese language dominance.

Beijing accounted for 68% of battery electric cars produced internationally in 2023 and exports totaled $34.1 billion.

While some EV makers have finalized plans to start exports this year, many others are considering options.

With its subsequent ‘born electric’ space, Mahindra & Mahindra is among those looking to enter the European market. The company, which has partnered with Volkswagen for components from its MEB platform to build a global EV portfolio, said it wanted to begin e-vehicle exports to Europe in 2027.

Honda Automobiles Republic of India is developing a full electric version of the SUV Rise and plans to export it, industry officials said.

Industrial carmakers also see opportunities in the export market for electric cars. Electrical bus maker EKA Mobility is manufacturing left-hand drive variants with a focus on markets outside the country.

Industry insiders said as safety and emissions laws in India are at par with global standards these days, cars produced here are gaining greater acceptance in global markets.

Plans in multiple phases
Executive director of corporate affairs Rahul Bharti said Maruti Suzuki plans to ship “new EVs and more products” made in India in the coming months. “Today, most of the conversation on EVs is around the convenience of importing parts or cars. Maruti Suzuki would like to reverse this and nurture the Indian ambition to export EVs from India. We are talking about meaningful volumes and that too in advanced markets like Europe or Japan,” he said.

TVS Motor exports the iQube to neighboring countries Nepal and Sri Lanka and the Philippines. “We strongly believe that India will emerge as a major exporter of two-wheelers,” its eminent executive KN Radhakrishnan said, citing “continuous improvement in the EV supply chain and infrastructure”.

Along with the iCube in some international locations within the EU, the company also plans to send its original power supply, the TVS X, to Latin America, the Middle East, and Southeast Asia.

Pune-based EKA Mobility, which is one of the commercial car manufacturers authorized under the Champion OEM (untouched equipment manufacturer) PLI scheme and is developing left-hand-drive models, is eyeing manufacturing exports from the Republic of India in 2025.

“Ultimately we want a large portion of our sales to come from export markets. We are investing heavily in research and development. And have products that can compete across the world,” said founder and chairman Sudhir Mehta.

The company has partnered with Japan’s Mitsui and Netherlands-based VDL Group to manufacture electric buses and Brightness commercial cars in India.

Japanese carmaker Toyota Motor has not yet planned to export electric cars from India. On the other hand, it is delivering high-end components including e-drives from here for its hybrid sector globally. The e-drive, or transaxle, combines the electric motor, differential, axle and brakes into one integrated assembly.

Toyota has invested Rs 4,100 crore through indigenous components Toyota Kirloskar Motor and Toyota Kirloskar Auto Parts to make components for hybrids in India. In an email response to ET’s queries, the company did not provide details of the parts being exported from India, but said the country is “well positioned to play an emerging role in contributing to the growing global EV market.”