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.
As per the pact, Suzuki would produce EVs for the Indian market and would supply some to Toyota, while the latter would provide technical support. In a statement, the two majors said they “have concluded a memorandum of understanding on moving forward in considering a cooperative structure for introducing EVs in the Indian market [by] around 2020.”
The agreement stems from an MoU signed in February this year between the two firms to explore a partnership. Post this, they began discussing, among other topics, the dissemination of vehicle electrification technologies in India, the carmakers added. The firms said they intended to conduct a comprehensive study of activities for ensuring widespread acceptance and popular use of EVs in India.
The activities “encompass the establishment of charging stations, human resources development that includes training for after-service technicians employed throughout [the] sales networks and systems for the appropriate treatment of end-of-life batteries.” the companies said.
Unit for batteries
Suzuki had earlier said it would invest $180 million (about ₹1,150 crore), along with partners Toshiba and Denso, for a separate unit to manufacture lithium-ion batteries at its Gujarat plant.
“As envisioned by the agreement, in addition to lithium-ion batteries, “electric motors and other major components would be locally procured for the production of EVs in India, helping the Indian government fulfil its ‘Make in India’ initiative, even in the field of EVs,” the two companies said.
