India: The Tamil Nadu approved an investment of Rs 7000 crore by passenger carmaker Hyundai Motors that will allow the company to make its first move in electric car in the country by manufacturing units from its Sriperumbudur facility near Chennai. The investment is for an expansion of capacity at their plant which also include an exclusive electric vehicle incentive package for the company, and that a special incentive package has also been offered to Hyundai. Tamil Nadu had been rewriting incentive packages for its manufacturers after the implementation of GST, which took away the power of states to collect Value-Added Tax, an exemption of which was a large draw of early investors in Tamil Nadu such as Hyundai, Ford, and other manufacturers. According to government official “A memorandum of understanding (MOU) is expected to be signed between the Tamil Nadu government and Hyundai at the Global Investors Meet. This fresh investment and capacity expansion is expected to add 1500 jobs to the facility”.
According to BlueWeave Consulting, Electric vehicles (EVs) are the inevitable future of the automotive industry. Many manufacturers around the world are investing heavily for developing EVs, which are facilitated by a steady increase in prices for petroleum products, the need to reduce harmful emissions from cars, and development of energy storage technologies. The electric vehicle market in India is anticipated to create lucrative opportunities for electric vehicle manufacturers as well as for vehicle component manufacturers in the near future. The demand for the passenger electric vehicles is governed by increase in demand for fuel-efficient, high-performance, and low-emission vehicles.
According to the recently published report by BlueWeave Consulting on “Global Electric Commercial Vehicles Market by Propulsion type (BEV, HEV, PHEV, FCEV), by Vehicle type (Bus, Truck, Van, Others), by Component (Motor, Battery, Others) – Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2014-2024,” The Global Electric Commercial Vehicles market is projected to grow at a CAGR over 13.0% during the forecast period in terms of value. The market is expected to reach over USD149, 316 Mn by 2024, supported by government subsidies and tax rebates for commercial electrical vehicles. Need for fuel-efficient and emission-free vehicles and the increasing demand for electric commercial vehicle such as electric truck in the logistics industry to minimize the additional liability of fuel expenses. Innovations in EV battery capacity, which will enable electric commercial vehicle to carry heavy loads over longer range, can create new revenue generation opportunities.
According to the upcoming report by BlueWeave Consulting on “India Electric Commercial Vehicles Market by Propulsion type (BEV, HEV, PHEV, FCEV), by Vehicle type (Bus, Truck, Van, Others), by Component (Motor, Battery, Others) – Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2014-2024,” India Electric Vehicle is projected to grow over a forecast period. The demand for electric vehicles is governed by an increase in demand for fuel-efficient, high-performance, and low-emission vehicles. In addition, the trend of reduction in vehicular emission due to stringent rules & regulations in several states and growth of public charging infrastructure in India are fuelling the market growth.