JSW Group plans 60,000-ton lithium-ion cell project with Chinese partner
The $23 billion JSW Group is reportedly on the verge of a significant technological partnership with a leading Chinese lithium-ion cell manufacturer. The aim of this collaboration is to establish a lithium-ion refinery and cell production facility in Paradip, Odisha, with an output capacity of 60,000 ton. The deal is expected to be finalized within the next six weeks.
Indian and global firms eye Chinese battery expertise
This move by JSW Group comes as both Indian and international companies are increasingly seeking to utilize China's expertise in advanced, cost-effective battery technologies for electric vehicles (EVs). Chinese firms are competing with global automotive giants to expand their EV market share both domestically and internationally. Amid geopolitical and policy uncertainties, Indian companies are opting for technology transfers from China over joint ventures.
JSW Group's strategy to secure affordable battery technology
JSW aims to secure affordable battery technology to make electric cars and commercial vehicles economically competitive compared to combustion engines, while also reducing dependence on Chinese supply chains. The company aims not only to match but eventually surpass Chinese cell production costs through local manufacturing and technological adaptation. This strategy bypasses more expensive alternatives from South Korean cell producers like LG Chem.
Paradip to house JSW's integrated EV project
The integrated EV project in Paradip, which is set to be built with an investment of ₹40,000 crore, forms a crucial part of JSW's strategy to enhance its renewable energy objectives. The factory is projected to commence operations within the next three to four years. An anonymous senior industry executive told Mint that by shifting toward advanced battery technologies via international technology transfers, Indian firms like JSW are setting the stage for improved, more competitive EV production capabilities domestically.
JSW Group's ambitious goal for India's EV market
The JSW Group has set an ambitious target of selling one million electric vehicles (EVs) in India by the end of this decade. The company aims to capture one-third of the country's electric car market. This initiative is part of their strategy to make EVs their new flagship product, thereby contributing to a more sustainable and self-reliant automotive industry in India.
