BMW and Toyota to jointly develop the next generation of fuel cell technology. Aim to launch first-ever series production fuel cell vehicle in 2028.

BMW plans to launch its first-ever series production fuel cell electric vehicle (FCEV) in 2028, thereby offering customers an additional all-electric powertrain option with zero local emissions in a BMW. The BMW Group and the Toyota Motor Corporation are pooling their innovative strength and their technological capabilities to bring a new generation of fuel cell powertrain technology to the roads.

The BMW Group and the Toyota Motor Corporation will jointly develop the powertrain system for passenger vehicles, with the core fuel cell technology (the individual third-generation fuel cells) creating synergies for both commercial and passenger vehicle applications. The result of this collaborative effort will be utilized in individual models from both BMW and Toyota and will expand the range of FCEV options available to customers, bringing the vision of hydrogen mobility one step closer to reality. Customers can expect the BMW and Toyota FCEV models to maintain their distinct brand identities and characteristics, providing them with individual FCEV options to choose from. Realising synergies and amalgamating the total volume of powertrain units by collaborating on development and procurement promises to drive down the costs of fuel cell technology.

Hydrogen is recognised as a promising future energy carrier for global decarbonisation. It acts as an effective storage medium for renewable energy sources, helping to balance supply and demand and enabling a more stable and reliable integration of renewables into the energy grid. Hydrogen is the missing piece for completing the electric mobility puzzle where battery-electric drive systems are not an optimal solution.

After successfully testing the BMW iX5 Hydrogen pilot fleet worldwide, the BMW Group is now preparing for production of vehicles with hydrogen drive systems in 2028 on the basis of the jointly developed next-generation powertrain technology. The series production models will be integrated into BMW’s existing portfolio, i.e. BMW will offer an existing model in an additional hydrogen fuel cell drive system variant. As FCEV technology is another electric vehicle technology, the BMW Group explicitly views it as complementing the drive technology used by battery electric vehicles (BEV) and next to plug-in hybrid electric vehicles (PHEV) and internal combustion engines (ICE).

The pathway to realising the full potential of hydrogen mobility includes its use in commercial vehicles and the establishment of a refuelling infrastructure for all mobility applications, including hydrogen-powered passenger vehicles. Both companies are encouraging sustainable hydrogen supply by creating demand and working closely with companies that are building low-carbon hydrogen production, distribution, and refuelling facilities.

The BMW Group and Toyota Motor Corporation are advocating the creation of a conducive framework by governments and investors to facilitate the early-stage penetration of hydrogen mobility and ensure its economic viability. The aim is to establish the FCEV market as an additional pillar alongside other powertrain technologies. The collaboration seeks regional or local projects to further drive the development of hydrogen infrastructure through collaborative initiatives.

Rujuta Jagtap, Executive Director, SAJ Test Plant Pvt Ltd

FAME-3 scheme will replace EMPS or Electric Mobility Promotion Scheme 2024 which is set to expire at the end of September.

The EV sale has come to a stalemate if compared with the last year, which has raised severe concerns for the manufacturing industry. To accelerate the adoption, the Government has announced that FAME -3 or the third phase of the Faster Adoption & Manufacturing of Electric Vehicles (FAME) scheme will be rolled out within two months. The decision is part of the government’s initiative to boost EV adoption across the country.

Speaking at the National Conference on Electric Mobility organised by ASSOCHAM, Union Minister for Heavy Industries- HD Kumaraswamy said, “The third iteration of the Faster Adoption & Manufacturing of Electric Vehicles (FAME) scheme will be rolled out within two months. We are taking a comprehensive approach to boost EV ecosystem and I call upon all stakeholders to join hands towards making India a global leader in electric mobility and towards our vision of a ‘Viksit Bharat’.”

The FAME-3 scheme will replace EMPS or Electric Mobility Promotion Scheme 2024. It will expire at the end of the current month-September. It was initially planned for a temporary 4-month period and later extended for another 2 months. This was primarily done to continue giving additional incentives to electric two- and three-wheeler players and there was an outlay of about Rs 1500 crore.

The EMPS 2024 scheme gained prominence following the expiration of FAME 2 in March this year. FAME 2 was initially launched in 2019 with a three-year term ending in 2022, but it was extended until March 2024. The two-year extension also came with an additional allocation of Rs 1,500 crore. The original outlay for FAME 2 in 2019 was Rs 10,000 crore, aimed at supporting 10 lakh electric two-wheelers, 5 lakh electric three-wheelers, 55,000 passenger cars, and 7,000 electric buses.

Neelam Pandey Pathak, Founder & CEO, Social Bay Consulting

Ketan Jadhav, Partner, EAC International Consulting

Euler Motors has launched its first 4-wheeler in the small commercial vehicle (SCV) segment, aiming to meet the growing demand for cost-effective and high-performance inter- and intra-city transportation solutions.

Euler Motors, a leading commercial electric vehicle manufacturer, has disclosed its entry into the small commercial vehicle (SCV) segment with its first 4-wheeler that will offer a payload of a payload of 1000+ kg. Planned for launch in the upcoming festive season. Euler Motors’ new SCV will be designed to meet the growing demand for cost-effective and high-performance inter- and intra-city transportation solutions.

The HiLoad EV, a successful 3-wheeler, is set to launch a 4-wheeler with market-defining attributes. It will offer long driving range, high payload capacity, ergonomic design, and real-time fleet management, important in industries like logistics, FMCG, beverages, dairy, paint, and lubricants, enhancing the driving experience. 

Estimated to achieve a market value of INR 34,900 crore in India by FY2027, the SCV segment is currently dominated by ICE vehicles. While EVs may comprise a smaller share, they are poised to grow the fastest. With EVs, customers can expect significant cost savings and achieve price parity with traditional fuel vehicles, making them a compelling choice for businesses aiming to improve their operational efficiency and sustainability. Help customers achieve not only greater efficiencies and business ROI, but these vehicles will also align with the climate change commitments by the Government of India.

 Saurav Kumar, Founder & CEO of Euler Motors, said, “Commercial electric vehicles must cater to the needs of various industries, accommodating diverse volumes, payloads, and ranges. Our vision is to develop vehicles that seamlessly integrate into all industry verticals. Our study of retail and institutional customers in the SCV segment reveals that a significant number are eager to switch to or purchase EVs that deliver high performance, extended range, and advanced features to elevate the driving experience and optimise fleet management. This new 4W vehicle is a milestone, as it will meet all these criteria, making it the perfect, trustworthy companion for both long and short cargo transportation journeys.” 

Euler Motors’ expansion into the SCV segment, highlighted by several industry-first features, aligns with its mission to accelerate the adoption of electric vehicles, and to promote sustainable urban mobility – through innovation designed for and from India.

Kaustubh Deshpande, Founding Partner, Imoto

Passenger Vehicle sales dwindled slightly, but auto manufacturing showed resilience in July 2024, with strong growth in the Two-Wheeler and Three-Wheeler segments. The industry adapts and eyes the festive season for renewed momentum.

The automotive sector witnessed active production of Passenger Vehicles, Three-wheelers, Two-wheelers, and Quadricycles, reaching 2,437,138 units in July 2024. This production figure captures the capabilities of the automotive manufacturing sector to serve domestic and international demands despite challenges in certain segments.

In July 2024, passenger vehicle sales stood at 341,510 units, reflecting a slight decline of 2.5 percent compared to July 2023. 59,073 three-wheelers were sold, marking a 5.1 percent increase over the previous year. Sales reached 1,441,694 units, showing a healthy growth of 12.5 percent for two-wheelers.

The Passenger Vehicle segment decreased due to external economic factors and market saturation in certain areas. The financial crunch and the expectations of subsidy extension in budget announcement further.

Passenger Carrier subsegment saw an 8.7 percent increase in sales. This growth can be linked to the sector’s adaptive manufacturing processes and the rise in demand for efficient urban transport solutions.

The two-wheeler segment has been a stronghold of the Indian auto industry and saw a substantial 12.5 percent growth. This increase was driven by a 29.2 percent rise in scooter sales compared to last July.

The auto manufacturing sector has shown remarkable adaptability, especially in the Two-Wheeler and Three-Wheeler segments, where production adjustments have met rising consumer demand. The sector’s ability to scale production efficiently amidst fluctuations in certain segments reflects its robust infrastructure and strategic planning.

Commenting on sales data of July 2024, Vinod Aggarwal, President, SIAM said, “Though Three-Wheeler and Two-Wheeler segments are performing well, there has been some growth of Passenger Vehicles and Commercial Vehicles in July 2024, compared to July 2023. The above-average rainfall and the upcoming festive season will again propel growth in the short term. In addition, enabling budget announcements emphasised overall economic growth with fiscal support for infrastructure and the rural sector should augur well for the Auto sector in the medium term.”

July 2024 portrayed the resilience and adaptability of the Indian automotive manufacturing sector. Despite challenges, the overall growth in production and sales, particularly in the Two-Wheeler and Three-Wheeler segments shows the strength in derailment. With the festive season approaching and supportive economic policies in place, the industry is looking towards continued growth in the coming months.

Yathiraj Kasal, General Manager & Business Head, Wipro 3D

Shan Qumer, Industry Leader – Environmental Mobility, Omron Automation Pvt Ltd

Euler Motors, a leading electric commercial vehicle manufacturer, offers the first look of its facility in Haryana, spanning 5 lakh sq. ft. The plant has a production capacity of 36,000 vehicles annually.

The commercial EV manufacturing and R&D facility of Euler Motors in the industrial hub of Palwal, Haryana is built with an investment of Rs 100 crore. The factory will serve as Euler Motors’ national manufacturing hub, catering to the rising demand for its 3W HiLoad EV from across the country. The company plans to expand its footprint from 26 to 40 cities by FY25.

The facility has an automated assembly line connected via a proprietary manufacturing execution system (MES), which drives production efficiencies by tracking the vehicle lifecycle from production to delivery. Additionally, the facility has the highest parameters for commercial vehicle testing, including dyno-testing, fully compliant shower testing, and a full-length testing track.

The plant houses a dedicated testing & validation team, advanced R&D labs, and collaborations with engineering experts, fostering a culture of continuous innovation.

“With such a strong supplier network in the vicinity, Palwal was naturally the ideal location for us. As we expand into new markets and aim to achieve 15% growth in FY25, this state-of-the-art facility will help us respond to the increased customer demand and adapt to changes in processes and products with agility and flexibility. It will also strengthen the company’s position as a trusted and leading player in the Indian commercial EV segment,” said Saurav Kumar, Founder & CEO, Euler Motors.

Gaurav Kumar, Head of Supply Chain & Manufacturing at Euler Motors, added, “Our new factory represents a significant leap in manufacturing commercial 3-wheeler EVs. We are setting new benchmarks for efficient and reliable production of vehicles by integrating cutting-edge technology and quality control that are at par with global standards. This facility will enhance our production capacity, and also reinforce our dedication to delivering powerful, locally manufactured vehicles that meet the evolving needs of our customers and the industry.”

The facility is an opportunity for value creation in the sector and will create job opportunities in the region. Currently employing over 500 people, including 20% women, the facility houses a dedicated learning and development centre, ‘Kamar-Taj’, to equip its workforce with the right skills, especially considering the skill gap that exists in EV manufacturing.

“I am incredibly proud to lead this commercial EV manufacturing facility. It has best-in-class automation and aligns with our commitment towards sustainable practices. The combination of our skilled workforce and the best of technology position us to deliver powerful electric vehicles across India, making a significant contribution to the country’s clean mobility future, said Anal Vijay Singh, Plant Head, Euler Motors.

Key highlights of the facility:

Industry-first Automation (among the cargo EV start-ups): Key automation initiatives include the EMS Hanger system for automated loading and unloading, the Trailing Arm Fitment Assist for better assembly ergonomics and takt time control, and a vacuum-based brake oil filling machine to minimise spillage and contamination. A portable CMM provides accurate body checks during and after production. Thorough in-house testing underscores Euler Motors’ commitment to vehicle performance and durability, setting industry benchmarks.

ESG at its Core: Demonstrating a deep commitment to environmental, social, and governance (ESG) standards, the facility incorporates advanced waste management systems, a sewage treatment plant, and a circular groundwater recharge system. These initiatives underscore Euler Motors’ holistic approach to operational efficiency and environmental sustainability.

Empowering Women in Manufacturing: Euler Motors prioritises a gender-neutral workplace. Key leadership positions, including safety and training officers, are reserved for women, promoting diversity and empowerment.

Economies of Scale and Quality Control: The facility marks a significant step towards achieving economies of scale through strategic investments in proprietary technology, modular vehicle design, and efficient production processes. This ensures high-quality EVs while meeting rising demand from both retail and institutional customers.

Compliance and Certifications: Euler’s Palwal facility, governed by the Factories Act of 1948, is the only cargo EV start-up with both ISO 9001 (QMS) and ISO 14001 (EMS) certifications, as well as the ISO 45001 (OHSAS) and IATF 16949 (QMS-Automotive) certifications, thereby boasting elevated compliance standards matching those of established OEMs in the e-mobility space.

EMS hanger system: Enables auto loading and unloading of vehicles on manufacturing stations.

Trailing arm fitment assist: Ensuring assembly ergonomics benefit and takt time control.

Vacuum base brake oil filling machine: Restrict spillage and contamination.

Portable CMM: For body accuracy checks during and post the manufacturing processes.

Dyno and shower testing facilities: Ensure comprehensive in-house testing of vehicles for performance and durability.

Chandan Mundhra, Founder & C.E.O, Savy Electric Vehicles

Amara Raja Energy & Mobility has also initiated the construction of a Customer Qualification Plant (CQP) at the Gigacorridor in Divitipalli, Mahbubnagar district, Telangana.

Amara Raja Energy & Mobility crossed a milestone in India’s battery manufacturing sector with the inauguration of Phase 1 of its battery pack plant and the foundation stone laying for a Customer Qualification Plant (CQP) at the Gigacorridor in Divitipalli, Mahbubnagar district, Telangana. The Gigacorridor spans over 260 acres and is poised to become a major hub for battery pack and cell manufacturing, with an ambitious target capacity of 5 GWh for battery packs and 16 GWh for cell production by 2031.

The newly launched Phase 1 battery pack plant has an initial capacity of 1.5 GWh and is tailored to produce lithium-ion (Li-ion) battery packs designed specifically for Indian conditions. These packs will serve the growing needs of electric vehicle (EV) manufacturers and stationary energy storage solutions. The forthcoming CQP, anticipated to be operational by the first quarter of the next financial year, will focus on producing various cell types for customer testing and validation, further solidifying Amara Raja’s role in advancing battery technology in India.

Amara Raja’s recent strategic moves include signing a Memorandum of Understanding (MoU) with Piaggio Vehicles Private Limited to develop and supply Lithium Iron Phosphate (LFP) cells and chargers for Piaggio’s EV 3-Wheelers, along with cells and battery packs for their upcoming 2-Wheeler models. A similar collaboration was also established with Ather Energy.

The Gigacorridor project represents a substantial investment of ₹9,500 crore, with plans to develop an advanced cell manufacturing Gigafactory and a cutting-edge research and innovation centre in Hyderabad, dubbed ePositive Energy Labs. This initiative is a critical component of Amara Raja’s broader strategy to lead India’s energy transition and drive sustainable growth in the region, while also reinforcing its position as a key player in the global battery manufacturing landscape.

Gururaj Bengeri, Director – Presales and Digital Transformation Consulting, Siemens Digital Industry Software

Francisco José Hurtado Mayén, Electric Vehicles Expert, remarks that the electric car market in India is marked by rapid expansion and a dynamic landscape. It is driven by a confluence of factors, including environmental awareness, supportive government policies, and advancements in electric vehicle technology.

The electric car market in India is one of the fastest-growing segments in the automotive industry. According to recent reports, the market size was valued at approximately USD 1.4 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of over 40% in the next five years. The number of electric cars sold in India is projected to increase significantly, driven by both demand and supply.

Key drivers of growth

Environmental concerns: Increasing awareness about the environmental impact of fossil fuels has led to a surge in demand for cleaner alternatives. Electric cars, with zero tailpipe emissions, are seen as a solution to reduce air pollution in urban areas.

Government initiatives: Various government policies and incentives, such as the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme, offer subsidies and tax benefits to manufacturers and consumers, making electric cars more affordable.

Technological advancements: Continuous improvements in battery technology have enhanced the range, performance, and safety of electric cars. The development of fast-charging technology is also reducing the downtime required for recharging.

Cost reduction: Economies of scale and advancements in production processes are gradually reducing the costs of electric cars and their components, making them more competitive with conventional vehicles.  

Consumer trends

Electric cars are becoming more popular among consumers because they are cheaper, supported by government policies, and better for the environment. Electric vehicles appeal especially to younger consumers and city residents. Moreover, the growing variety of electric cars with enhanced performance and capabilities is encouraging more people to buy them.

Competitive landscape

The competitive landscape of the electric car market in India is evolving rapidly. Established automotive companies are expanding their electric vehicle portfolios, while new entrants are also making their mark. Competition fosters innovation and leads to better product offerings that benefit consumers.

Market segmentation

The Indian electric car market is diverse and segmented based on several criteria, including vehicle type, price range, usage, and geographic distribution. Each segment has unique characteristics and appeals to different consumer groups. Understanding these segments is crucial for identifying market trends and opportunities.

Vehicle type

The market is categorised into three main types of electric cars: compact cars, sedans, and SUVs. Each category caters to different consumer needs and preferences.

Compact cars: Compact electric cars are popular for their affordability and suitability for urban commuting. These vehicles are designed for short to medium distances, making them ideal for daily use. Key models in this segment include the Tata Tigor EV and Mahindra eKUV100. These cars balance cost, range, and performance, appealing to budget-conscious consumers and first-time EV buyers.

Sedans: Electric sedans provide comfort, performance, and range. They are preferred by consumers looking for a more premium experience without compromising efficiency. Models like the Hyundai Kona Electric and MG ZS EV fall into this category. These sedans offer advanced features, longer driving ranges, and better performance metrics than compact cars, making them suitable for longer commutes and highway driving.

SUVs: The SUV segment in the electric car market is gaining significant traction due to the increasing consumer preference for spacious and versatile vehicles. Electric SUVs like the Tata Nexon EV and the upcoming Mahindra XUV400 are known for their build, advanced features, and superior driving range. This segment appeals to consumers prioritising space, safety, and higher ground clearance, making these vehicles suitable for diverse driving conditions, including urban, rural, and off-road environments.

Price range

Electric cars in India are available across a wide range of price points, catering to different economic segments of the population. This segmentation allows manufacturers to target diverse consumer groups based on their purchasing power and preferences.

Budget segment: Electric cars priced below INR 10 lakh fall into this category. These vehicles are typically compact cars designed for urban use. Their affordability makes them accessible to a larger segment of the population. Examples include entry-level versions of the Tata Tigor EV and Mahindra eKUV100.

Mid-range segment: Priced between INR 10 lakh and INR 20 lakh, this segment includes higher-end compact cars, entry-level sedans, and SUVs. Vehicles in this range offer better performance, longer driving ranges, and more features per the budget segment. The Tata Nexon EV and MG ZS EV are notable models in this category.

Premium segment: Electric cars priced above INR 20 lakh are considered premium models. These vehicles include high-end sedans and SUVs offering superior performance, luxury features and extended driving ranges. The Hyundai Kona Electric and future premium models from brands like Audi and Mercedes Benz are examples of this segment. These cars cater to affluent consumers looking for luxury and advanced technology.

Usages

Electric cars in India are used for personal use, commercial applications, and government or institutional use. Most electric cars in India are purchased for personal use. Consumers in this segment prioritise factors such as cost-effectiveness, environmental impact, and the convenience of charging. The growing awareness of environmental benefits and the availability of subsidies have significantly contributed to electric cars for personal use.

There is an increasing interest in electric cars for commercial purposes, including fleet operations for ride-hailing services, corporate fleets, and delivery services. Electric cars’ lower operational costs compared to conventional vehicles make them an attractive option for businesses looking to reduce expenses and enhance sustainability. Companies like Ola and Uber are gradually incorporating electric cars into their fleets.

Government agencies and institutions are also adopting electric cars as part of their efforts to promote sustainability and reduce carbon footprints. Various state and central government bodies are incorporating electric vehicles into their official fleets, setting an example for the public and supporting market growth.Geographic Distribution

The adoption of electric cars in India varies across different geographic regions and is influenced by factors such as urbanisation, infrastructure availability, and regional policies. Major metropolitan cities like Delhi, Mumbai, Bangalore, and Chennai are leading in electric cars. The availability of better charging infrastructure, higher environmental awareness, and supportive local policies contribute to the higher penetration of electric cars in these areas. Urban consumers are more inclined to switch to electric cars due to the frequent use of personal vehicles for commuting and the increasing congestion and pollution levels in cities.

While adopting electric cars is slower in semi-urban and rural areas, there is potential for growth as charging infrastructure expands and awareness increases. State government initiatives aimed at rural electrification and the development of charging networks are expected to boost the adoption rates in these regions. The affordability and suitability of compact electric cars for short-distance travel make them appealing to consumers in smaller towns and rural areas.

Future Prospects

The future of the electric car market in India is promising, driven by several factors expected to contribute to its growth and development. Technological innovation will play a leading role in this growth.

Continuous improvements in battery technology, including improvements in energy density, charging time, and cost reduction, are expected to enhance the performance and affordability of electric cars. Solid-state batteries promise higher energy densities and faster charging times, and once they become commercially viable, they are likely to revolutionise the market.

Advancements in vehicle design and materials will contribute to more efficient and lightweight electric cars. Innovations such as aerodynamic designs, lightweight composite materials, and energy-efficient systems will improve overall vehicle performance and range.

Autonomous driving technologies and advanced connectivity features will enhance the appeal of electric cars. Autonomous driving can improve safety and convenience, while connectivity features offer real-time updates, predictive maintenance, and enhanced user experiences.

Government support and policy framework

Ongoing and consistent government support will be crucial for the sustained growth of the electric car market. The continuation and expansion of financial incentives and subsidies for electric car buyers and manufacturers will help bridge the cost gap with conventional vehicles. Policies that support domestic manufacturing and research and development will also boost the industry.

Implementing stringent emission regulations and fuel economy standards will encourage the adoption of electric vehicles. Policies such as zero-emission vehicle (ZEV) mandates and carbon credits can further drive market growth.

Government initiatives to expand and enhance the charging infrastructure will address range anxiety and make electric cars more convenient for consumers. Support for public and private investment in charging networks will be essential.

Market expansion and new business models

The electric car market is expected to expand, with new business models emerging to support its growth. Electric cars in commercial fleets, including ride-hailing services, delivery vehicles, and corporate fleets, will drive significant market growth. Fleet operators are likely to benefit from lower operational costs and government incentives.

Innovative business models, such as battery leasing and swapping, can reduce the upfront cost of electric cars and address concerns about battery lifespan and degradation. Companies offering these services will play a crucial role in market expansion.

Subscription-based models, in which consumers can lease electric cars monthly with inclusive services such as maintenance and insurance, will provide users with flexible and cost-effective options.

Increased consumer awareness and acceptance

Consumers are expected to switch to electric mobility with the increasing awareness and acceptance of electric cars. Continued efforts to educate consumers about the benefits of electric cars, available incentives, and charging infrastructure will drive this adoption. Real-world testimonials and success stories can help build confidence in electric vehicles.

Providing consumers with opportunities to experience electric cars through test drives and demonstrations will also dispel misconceptions and highlight the advantages of electric mobility.

As more automakers enter the electric car market and offer a wider range of models, consumers will have more choices that meet their preferences and needs. Increased competition will also drive innovation and lower prices.

Environmental and economic impact

The environmental and economic benefits of electric cars will further strengthen their adoption. They will reduce greenhouse gas emissions and air pollution, contributing to improved public health and sustainability. Electric cars can reduce India’s dependence on imported fossil fuels, which will positively impact energy security. Renewable energy sources for EV charging can further reduce the carbon footprint and promote sustainable energy use.

The growth of the electric vehicle industry will create new opportunities for economic development and job creation. The EV ecosystem will generate employment across various sectors, from manufacturing and R&D to charging infrastructure and maintenance services.

Global trends and collaboration

The global shift towards electric mobility will impact the Indian market. Trends such as the declining cost of batteries, technological advancements, and increased investment in EVs by global automakers will benefit India. Collaborating with international companies and governments can facilitate technology transfer, investment, and knowledge sharing. Partnerships in areas such as battery manufacturing, charging infrastructure, and R&D will accelerate the growth of the Indian electric car market.

The electric car market in India stands at a crucial juncture with an outlook of substantial growth and transformation. This report has explored the multifaceted aspects of this burgeoning market, offering a comprehensive analysis of its current state, key players, government policies, infrastructure developments, challenges, and prospects.

The transition to electric mobility is more than just a technological shift. It is to create a fundamental change in how transportation is perceived and utilised in India. This transition’s benefits are manifold: reduced greenhouse gas emissions, improved air quality, and economic growth. As India aims to meet its sustainability goals and reduce its carbon footprint, electric cars are a pivotal step in this direction.

TruCut offers top-tier solid carbide and HSS-Co rotating tools backed by over two decades of expertise. Its commitment to quality serves both domestic and international markets, ensuring precision and performance.

TruCut has over two decades of experience in the cutting tool industry, with its primary mission to offer customers a one-stop shop for all their cutting tool needs.

One-stop shop for all cutting tool needs

TruCut is present in domestic and international markets, offering a diverse range of solid carbide and HSS-Co rotating tools. In a competitive industry, quality is the ultimate goal. This commitment to excellence is evident in every aspect of its production and service.

TruCut takes great pride and confidence in its ability to meet all requirements with its high-quality product line, ensuring that end users will appreciate using the products as much as it enjoys producing them. TruCut provides comprehensive application support and supplies to pan India. From its facility in Chennai and through its extensive dealer network, it offers top-notch carbide-cutting tools for various metalworking industries.

Manufacturing facilities

TruCut’s 15,000 sq. ft. production facility in Chennai has advanced CNC grinding and tool inspection machines. This facility ensures that every tool meets stringent quality standards, allowing customers to benefit from significant savings and increased productivity over time.

TruCut ensures consistent tool performance by installing advanced CNC 5-axis and  7-axis grinding Machines. Its Non-Contact 5-axis CMM Tool Inspection Machine guarantees precise geometry and dimensions, while laser marking provides permanent identification. Each tool is protected with high-quality single-piece packaging. TruCut maintains consistent quality and uses high-grade microfine and ultrafine carbide raw materials, along with HSS-Co imported from Europe. Additionally, our in-house forming section processes Unground carbide blanks.

Quality control measure

TruCut Tools ensures the machining world operates smoothly by providing quality, consistency, and timely delivery. With an extensive inventory of catalogue items ready to ship the same day and custom tools available with minimal lead times, it helps meet machining needs efficiently. The quality of products is evident through optimised carbide quality, superior grinding techniques, innovative tool geometries, and advanced tool coatings. Each tool produced undergoes rigorous inspection and quality control to ensure consistency and best performance. The tools meet the highest standards in industries where precision and reliability are critical.

TruCut invests in advanced tool production equipment, supported by state-of-the-art inspection machines and micro-level inspection procedures, to ensure that every tool meets the highest standards of accuracy.

Industries TruCut  serves

TruCut is the perfect partner for developing and producing primary and secondary Aircraft components. TruCut offers the most comprehensive range of solid carbide tools for metal and composite materials available for the aerospace industry, which sets new standards with the highest possible productivity and process reliability through technical support.

When machining automotive parts, achieving the highest production at the lowest possible cost is essential. TruCut fulfils this need and delivers on its promise to dramatically reduce long-term, prioritising quality and efficiency rather than selling cheap tools.

In the Die & Mold Industries, TruCut has been bundling decades of experience in Die and Mould tool making with a forward-looking product portfolio and designing individual manufacturing solutions with continuous process chains.

The General Engineering segment comprises job shops, contract manufacturers, electronic components producers, and others contributing to the manufacturing world. We provide innovative solutions that improve their regular processes and achieve an efficient output.

Industry-specific solutions

TruCut offers specialised solutions across various industries that are customised to meet the demands of each sector.

TruCut tools ensure the highest production rates at the lowest possible costs in the industry, promising to lower customers’ overall machining expenses. TruCut designs individual manufacturing solutions with continuous process chains to ensure efficiency and precision. Offering a broad range of solid carbide tools for super alloys and composite materials, TruCut provides flexible machining solutions that set new standards for productivity and process reliability.

TruCut adheres to its 5-TS (TruCut Standard) to ensure a high-quality and consistent product by: 

• Appropriate Carbide Grade 
• New Tool Geometry 
• Precision Smooth Grinding 
• Proven Inspection Procedure 
• Advanced tool coatings.

Artificial Intelligence (AI) is being integrated into electric vehicles (EVs) to improve safety features. Indian brands like Tresa Motors leverage in-house AI expertise to develop resilient BMS systems.

AI has become sophisticated with advanced integration and its use for electric vehicles is transforming the market. OEMs are using advanced technology to enhance vehicle safety and help safeguard lives on the road. AI extracts important data on factors that impact operators, including weather conditions, road topography, traffic patterns, and common performance issues. AI optimizes vehicle performance to address anticipated safety concerns by analyzing this data. Here are ways electric vehicle manufacturers are integrating artificial intelligence (AI) and advanced technologies to enhance safety features:

Advanced Driver Assistance Systems: These systems help drivers operate their vehicles safely by including features such as autonomous emergency braking, lane-keeping assistance, and adaptive cruise control. Using sensors and cameras, ADAS detects nearby obstacles or driver errors and responds accordingly. Indian brands like Tresa Motors leverage inhouse AI expertise. Tresa’s 3D mapping technology, powered by LIDAR sensor fusion, revolutionizes route optimization and energy conservation for drivers and fleet management. It predicts road conditions, hazards, and obstacles, ensuring driver safety and optimizing energy usage by continuously mapping and re-locating routes in real-time.

Battery Management Systems: A BMS is a critical component for the safety and reliability of the battery pack powering an electric vehicle. AI enhances BMS by monitoring cell health, temperature, and charging cycles to deliver optimal efficiency and prevent safety hazards. Tresa Motors is developing resilient BMS systems in-house, with a strong emphasis on safety, especially for high-capacity packs.Advanced Telematics Platforms: These platforms provide critical insights into driver behaviour and risks in real-time. Data on harsh braking, acceleration, and cornering helps identify unsafe manoeuvres or traffic violations. Location tracking verifies stoppage times and route deviations. This data improves individual driver safety and contributes to overall road safety by reducing the likelihood of accidents and enhancing responsiveness to incidents. Telematics systems of Tresa Motors stream over 500 monitoring points to the cloud for constant performance, safety, and efficiency analytics.

Vehicle-to-Everything Connectivity: This technology allows vehicles to share information with other vehicles on the road, enhancing driver safety. V2X enables drivers to take preventive actions by informing others of road accidents, potholes, and other hazards ahead.

As India expedites its connected vehicle infrastructure, such technologies will be pivotal in achieving the goal of zero road fatalities. EV manufacturers understand the paramount importance of driver safety and thus they are committing to craft cutting-edge electric vehicles.

The plant will serve Indian businesses, further localise the product portfolio, and thus, reduce dependence on imports. It will also help address the supply-demand gap of high-performance adhesive solutions for the manufacturing, maintenance, repair and overhaul (MRO), and automotive components sectors. 

Henkel Adhesives Technologies India Private Limited (Henkel India) completes Phase III of its manufacturing facility in Kurkumbh, near Pune, Maharashtra. The Kurkumbh site, launched in 2020, serves the growing demand of Indian industries for high-performance solutions in adhesives, sealants, and surface treatment products. The new Loctite plant, named after Henkel’s renowned brand Loctite, was inaugurated by Mark Dorn, Executive Vice President, Henkel Adhesive Technologies, along with other Senior Management members of the company. 

Henkel has been expanding its presence in the country through consistent strategic investments to meet the rapid growth. The company has a strong footprint in India and operates five manufacturing sites, two innovation centres, a customer experience centre, a packaging academy, and an application centre for the footwear industry. The new Loctite plant in the Kurkumbh manufacturing site reflects Henkel’s vision to drive growth in the Indian market.

Speaking on the launch, Mark Dorn, Executive Vice President at Henkel Adhesive Technologies, said, “India has emerged as a focus market for Henkel globally. The new Loctite plant highlights our vision to emerge as a self-reliant global market player with a strong local presence. With continued investments, efficient supply chains, and customer-focused solutions, Henkel is committed to driving growth in India and building ecosystems of innovative and sustainable solutions with our partners and customers.” The Kurkumbh site also showcases Henkel’s dedication to the local community as a responsible corporate citizen. It meets the highest sustainability standards and is LEED Gold certified, a rare feature among chemical plants. In addition, Henkel aims to achieve carbon neutrality in Kurkumbh for Scope 1 and 2 emissions by 2030. To support this ambition, the site has signed a green electrical energy Power Purchase Agreement and installed on-site solar panels. 

S. Sunil Kumar, Country President of Henkel India, commented, “The expansion of our manufacturing footprint reinforces Henkel’s sustained commitment to making India a manufacturing hub for advanced and high-performance adhesive, sealant, and functional coating solutions. A key highlight of the new Loctite plant is the Automated Storage and Retrieval System (ASRS), which enables fast execution of material storage and retrieval. The plant will leverage Industry 4.0, optimize production efficiency, and further drive profitable, organic growth for Henkel India while continuing to contribute to the ‘Make in India’ initiative of the Indian government.”

Divyesh Kolwadkar, Sales Area Manager – West Region, HMS Industrial Networks India Pvt. Ltd

Compressed air in automobile manufacturing is a conscious selection process that leads to operational efficiency, safety, and quality across various applications. Thus, careful consideration of factors like air requirements, working pressure, and power efficiency requires a factorial decision.

The automotive sector uses compressed air widely, from manufacturing and assembly to functions like body shops. In our daily lives, on our way to work, we regularly inflate the tyres of the vehicle we drive; this is indeed an application of compressed air. Compressed air is used to make tyres, seats, automotive assembly lines, robotic applications, etc. Its adaptability has made it a vital tool for operational safety and efficiency and for simplifying production with dependable and effective compressed air equipment.

Applications of compressed air in the automobile sector
Compressed air tools: Pneumatic Tools like power wrenches, air rachets, air rivets, air hammers, drills, sanders, and pneumatic nailing are all powered by compressed air systems. They are essential to the automotive assembly line due to their consistent performance, safety and compact design. They also generate sustained torque and speed without producing excessive heat or requiring complicated electrical systems.

Painting and body finish: A superior quality paint is expected to give a car a premium look. Compressed air is employed in spray painting applications to guarantee a flawless mirror surface and a consistent, dependable paint spray for door panels, side panels, roof pieces, and other auto body parts. Chicago Pneumatic Compressors offers a comprehensive solution for compressed air with add-on filters and refrigerated air dryers, which can reduce the compressed air temperature to a point where moisture condensation occurs. This can help remove moisture and minimise contaminants like dirt and oil within the air stream.

Laser, Plasma-Cutting and welding applications: Compressed air is used in laser and plasma-cutting processes for car manufacturing, where it acts as the primary or secondary gas to generate high-pressure and high-temperature plasma jets. Compressed air shields the weld in certain welding operations and improves weld seam quality.

Tyre inflation: Right from a petrol pump to a puncture shop, we all have seen a piston or a screw compressor used for inflating air in tyres to maintain sufficient pressure, ensuring a smooth drive.

Pneumatic Robotic assembly lines and material handling and holding: To boost the productivity of assembly lines, lean and flexible manufacturing and assembly systems are designed. These robotic assembly systems lift heavy auto parts and automobile body components via vertical lifts or conveyor systems. These automated systems are pneumatically operated and powered by compressed air systems.

Factors for selecting a compressor for automobile manufacturing
Compressors orbit almost every application in the world of automobile manufacturing. Selecting a compressed air solution requires some key considerations as it contributes to saving power, adding profits to business, leading to faster returns on investments, and reducing the carbon footprint for stepping towards a better, greener tomorrow.

Air Requirement: A compressed air installation should happen based on the required FAD(CFM), not compressor power. This is because, with every CFM, the power requirement increases, as does the capital and running cost. Load factor and simultaneous usage factor are important as all the machines are not loaded 100% and are not used simultaneously. Contact your nearest Chicago Pneumatic representative to learn your optimal air requirement.

Working Pressure: Energy expenses rise by approx. 7% for every bar increase in working pressure. Choosing an appropriate compressor working pressure is crucial to achieving an effective installation.

Power Efficiency: Compressors with a variable frequency drive whose speed is controlled electronically help to keep the compressed air constant within a very tight pressure range and offer outstanding opportunities for energy savings as the power consumption is adapted to the flow requirement. At Chicago Pneumatic Compressors, we have tools and software like iTrack & Architect to determine the right usage of existing installations and simulate the energy-saving reports with the help of live recorded data. These tools help to make your existing installation better and energy efficient while maintaining design, simulation, size, and configuring a new installation setup.

Likewise, many other factors, such as air quality, noise levels, cost – initial and lifetime, maintenance, etc. —must be considered while designing an optimal solution.

Yogesh Umbarkar, Vice President – Mobility, Valtech Mobility

Sameer Walgude, Lead – Supplier 360 / Vihaan, Mahindra & Mahindra Ltd.

Parasram Parihar, Head, Supply Chain Operation, Hero MotoCorp Ltd

Founded by A.K. Sen in 2000, Tasa Automotive specialises in component manufacturing and bespoke machinery. Now, Tanushree Sen from Tasa Automotive Components is empowering women in tech and manufacturing to join the force, and Tasa Automotive is a leading example

Could you share the story of how Tasa Automotive began its journey?
A.K. Sen founded Tasa Automotive in 2000. He began his career in 1975 as a tool designer for Escorts Ltd.’s motorcycle and scooter division. He established Tasa Micro Special Purpose Machines, his first business venture, where he designed and produced fixtures, jigs, special cutting tools, and special purpose machines for automotive companies in the Delhi-NCR region. Among Tasa Micro’s clients were Sona Koyo Steering Systems and Hitech Gears, who saw potential in expanding their collaboration. Dr. Surinder Kapur of Sona Koyo Steering Systems provided an opportunity to launch a soft job work machining unit for their new Sona Okegawa Precision Forgings plant. With the guidance of individuals such as T K Pal and V V Verma, Tasa Automotive Components was founded in 2000.

Supported by Tasa Micro Special Purpose Machines, which developed affordable broaching equipment and SPM solutions, Tasa Automotive has earned the trust of numerous clients, including JTEKT India and Continental Brakes India Ltd., with whom they have maintained long-term partnerships for over 15 years. Tasa Automotive Component is committed to exceeding customer expectations in this dynamic and ever-changing environment by adhering to a customer-first policy.

What is your perception of the growth of the MSME industry in India?
Micro-small and medium-sized businesses (MSMBs) drive economic development, job creation, poverty reduction, and promoting equality worldwide. The MSME sector promotes economic growth by ensuring fair distribution and inclusive growth, especially in the automotive industry. In India, the MSME sector has significant potential but requires a supportive environment for growth. India should focus on expanding and developing the MSME sector to become a manufacturing powerhouse. Policies should be created to support businesses in the Indian manufacturing sector and provide them with platforms, guidelines, and resources to explore foreign markets. Many MSMEs are unaware of government benefits, so authorities must engage with entrepreneurs in the MSME sector to help them and reduce unemployment. The government could also establish trade routes between global and Indian industrial markets. The main challenges for MSMEs include finding skilled labour, a shortage of trained engineers, and the need for more financial support through government incentives. Organisations like EEPC and ACMA are essential in supporting Indian MSME manufacturers towards success and development.

How does Tasa promote women’s empowerment in the manufacturing sector?
Women empowerment in the manufacturing sector is transformative. It requires the removal of barriers and equal opportunities in traditionally male-dominated fields like component manufacturing. This shift is happening through equal opportunities and new job profiles. Elevating women to senior positions, especially in traditional family businesses, is crucial. A supportive family and a strong drive are key to women’s success. My family has always supported me. Women should embrace learning, technology, and adaptability. Acquiring skills boosts workplace confidence. At Tasa, women have equal opportunities in all roles, from shop floor to management. Organisations must create secure and knowledge-rich environments. Tasa believes in everyone’s potential, regardless of gender, and has practised equal opportunities for 15 years.

Please provide a brief overview of the services and manufacturing facility you offer.
We offer a wide range of services, including component manufacturing and on-demand manufacturing. We also design and manufacture our jigs, fixtures and machines. Finding all solutions under one roof is rare for an MSME organisation. We develop parts according to customer drawings and offer a variety of services through our developed supply chain partners which includes forging, casting heat treatment, and plating. We are certified with IATF16949, ISO14001, and ISO9001:2015. Our facilities include CNC Turning Centers, VMC Machines, and advanced inspection tools like Zeiss CMM and Zeiss Contour. We also provide automation solutions for SPM to meet specific customer requirements.

How do you build and maintain trust with your clients?
We have worked with esteemed companies like Sona BLW Precision Forgings Ltd, JTEKT, Continental Brakes India Ltd, and Dantal Hydraulics. We invest in machinery and inspection technology to ensure our clients receive excellent value and enjoy working with us. Building and maintaining client trust motivates us to excel in this competitive industry. We aim to enhance our capabilities and continue serving our customers.

According to Ayush Lohia, CEO, Lohia, collaboration between industry players and government authorities is essential to address infrastructure challenges in the electric vehicle (EV) ecosystem, fostering supportive policies, standardised protocols, and strategic investments for widespread EV adoption.

How does increasing consumer awareness contribute to the growing demand for sustainable transportation options, particularly EVs?

Increasing consumer awareness is vital in driving the demand for environmentally friendly transportation options, particularly electric vehicles (EVs). Heightened awareness of climate change and air pollution motivates individuals to prioritise sustainable choices.

Consumers are becoming more informed about the benefits of EVs, including avoiding fluctuations in fuel prices. They also appreciate the low maintenance costs and convenience of home charging. These factors are driving a growing inclination among consumers to switch to EVs. They are also easy to drive, produce no noise, and often come with government incentives. Therefore, efforts to educate the public about the advantages of EVs foster a growing demand for sustainable transportation options.

How can the challenges in transitioning to electric mobility, especially regarding adoption rates, be addressed?

The electric vehicle (EV) industry in India faces several anticipated challenges. Infrastructure remains a key concern, encompassing the need for a robust charging network to alleviate range anxiety among consumers. Additionally, despite decreasing battery prices, the high upfront cost of EVs poses a challenge to widespread adoption. Regulatory uncertainties, including fluctuating incentives and policy frameworks, can impact investor confidence and hinder long-term planning for manufacturers. Technological advancements and R&D efforts are crucial to addressing battery performance, charging times, and overall vehicle efficiency concerns.

Furthermore, consumer awareness and education initiatives are vital to dispel myths and misconceptions surrounding EVs. Collaboration among industry stakeholders, government bodies, and financial institutions is essential to surmount these challenges for sustainable growth in India’s EV sector.

How are industry players working with government authorities to tackle infrastructure challenges in the electric vehicle ecosystem?

Industry players must prioritise open communication and proactive engagement with government authorities to address infrastructure challenges within the electric vehicle (EV) ecosystem. This involves active participation in regulatory discussions to advocate for supportive policies, such as EV charging infrastructure development incentives and streamlined permitting processes. EV manufacturers should offer insights into infrastructure needs based on market trends and consumer behaviours, sharing data and expertise to aid governments in planning and implementing strategic infrastructure investments. Collaborative efforts should focus on establishing standardised charging protocols, expanding charging networks, and investing in innovative solutions like smart grid technologies. With increasing cooperative relationships with government authorities, EV manufacturers can help accelerate the transition to sustainable transportation, ensuring the necessary infrastructure is in place to support widespread adoption.

How do IoT, AI, and robotics improve efficiency and quality in the EV industry?

Integrating IoT, AI, and robotics into automobile production processes revolutionises efficiency and quality in the electric vehicle (EV) industry. IoT enables real-time monitoring of equipment and production lines, optimising resource allocation and predictive maintenance. AI algorithms enhance decision-making, optimising assembly processes and minimising errors. Robotics automates repetitive tasks with precision, improving consistency and speed. This integration streamlines production, reducing costs and time-to-market, which is crucial in the competitive EV landscape. Furthermore, it ensures superior quality control, enhancing EVs’ reliability and safety, thus reinforcing consumer trust and satisfaction. IoT, AI, and robotics play pivotal roles in propelling the EV industry forward and driving innovation and sustainability.

How have the Make in India and AtmaNirbhar Bharat initiatives promoted self-reliance in automobile manufacturing?

The Make in India and AtmaNirbhar Bharat initiatives have reinforced self-reliance in automobile manufacturing. These initiatives have incentivised domestic production, reducing import reliance and fostering indigenous capabilities. The AtmaNirbhar Bharat initiative, in particular, has made a profound impact by encouraging companies to become self-sufficient. As exemplified by our company, which does not import parts for our vehicles, these initiatives have propelled the automobile industry towards greater autonomy and resilience. Through localisation of manufacturing and fostering a conducive ecosystem for domestic production, Make in India and Atmanirbhar Bharat have played pivotal roles in promoting self-reliance in the Indian automotive sector.

H S Bhatia, Managing Director of Daewoo India, emphasizes that a successful transition to electric mobility in India necessitates inclusive strategies. Key factors include government policies, technological progress, and infrastructure development, all crucial for overcoming obstacles and extensive adoption of electric vehicles through collaborative efforts between industry and government.

How does consumer awareness drive the demand for sustainable transportation options?

Increasing consumer awareness drives the demand for sustainable transportation options, particularly EVs in India. As the public becomes increasingly aware of the adverse environmental effects of traditional internal combustion engine vehicles, there is a growing shift toward cleaner alternatives.

The transportation sector in India is a significant contributor to pollution, especially in cities like New Delhi, where two—and three-wheelers account for 50 percent of surface PM 2.5 levels. This shows the urgent need for change.

Moreover, with transportation comprising about one-fifth of India’s total energy use, the shift towards EVs is environmentally crucial. It also aligns with the country’s energy consumption goals. India’s young and upwardly mobile population is increasingly adopting new technologies, further propelled by their improving socioeconomic status, which positions them better to afford EVs.

How to address the challenges while transitioning to electric mobility, particularly the adoption rate?

Transitioning to electric mobility in India involves overcoming several challenges, particularly adoption rates. Supportive government policies, increasing consumer awareness, and advancements in EV technology are crucial in this regard. Expanding charging infrastructure and developing locally produced battery technologies are essential to accommodate the rising demand for EVs.

The automotive industry in India stands to play a significant role in the global EV shift and has the potential to become a leader in this space. Private companies are instrumental in offering smart digital solutions, contributing to infrastructure development, and acting as a bridge between government agencies and end-users. These initiatives support fleet operators in transitioning to EVs and help original equipment manufacturers (OEMs) provide seamless driving experiences.

Collaboration with local governments is also key for rapidly constructing charging stations and increasing public awareness, facilitating the EV industry’s swift growth. Continued cooperation between the public and private sectors, coupled with innovation and investment, can accelerate the adoption of electric vehicles in India.

How are industry players collaborating with government authorities to address infrastructure challenges in the electric vehicle ecosystem?

Collaboration between industry players and government authorities is essential to addressing infrastructure challenges in the electric vehicle ecosystem. The Ministry of Power is incentivizing the establishment of EV charging stations through financial and non-financial measures, including a revenue-sharing model for land use and affordable charging rates.Private entities are working with municipal, state, and central governments to install EV stations and develop a Charger Management System (CMS) to streamline operations. Given that much of India’s electricity is coal-generated, which undermines the environmental benefits of EVs, the government is exploring alternative energy sources like solar, wind, and nuclear power.

Additionally, research and development in biofuels to power EV manufacturing units are being actively pursued. These government measures provide opportunities for private players to leverage technology and innovation to produce EVs more efficiently and at lower costs, ultimately reducing upfront cost for consumers and increasing EV adoption.

Addressing the challenges of limited driving range and battery capacity, private players must innovate lightweight, high-energy-density batteries supported by government tax credits and initiatives like the National Mission for Transformative Mobility and Battery Storage, 2019, promoting battery manufacturing and technological advancements.

Please discuss the role of IoT, AI, and robotics being integrated into automobile production processes to enhance efficiency and quality.

Integrating IoT, AI, and robotics into automobile production processes significantly enhances efficiency and quality. Smart factories equipped with IoT devices can monitor production lines in real-time, ensuring precision and operational efficiency.  AI algorithms can predict maintenance needs, reducing downtime and operational costs. IoT devices provide data that AI can analyse to optimise production schedules, manage inventory, and ensure the quality of manufactured parts. Robotics automates repetitive tasks, increasing production speed and accuracy while minimising human error.

How do Smart factories aid in the shift towards electric mobility and enhance manufacturing competitiveness?

Smart factories play a pivotal role in the shift towards electric mobility by enhancing manufacturing competitiveness. Equipped with advanced technologies such as IoT, AI, and robotics, these factories streamline production processes, improve resource utilisation, and increase output quality. In the context of electric vehicles, smart factories can efficiently manage the production of EV components, including batteries and electric motors, ensuring consistency and high standards. This technological edge helps manufacturers reduce costs, accelerate production timelines, and respond swiftly to market demands. Furthermore, the data-driven insights provided by Smart factories enable continuous improvement in manufacturing practices, fostering innovation and maintaining a competitive edge in the rapidly evolving EV market.

How do you assess the impact of the Make in India and AtmaNirbharta initiatives in promoting self-reliance in automobile manufacturing?

The Make in India and AtmaNirbharta initiatives significantly promote self-reliance in automobile manufacturing, particularly in the EV sector. Historically, India has relied on imports for critical EV components like lithium-ion cells and electric motors due to the lack of a domestic ecosystem. However, these initiatives encourage the development of a circular economy model aimed at minimising environmental impact and maximising resource efficiency.

The Production Linked Incentive (PLI) Scheme for the automotive sector, launched with an outlay of $3.1 billion, aims to foster domestic manufacturing of advanced automotive technology (AAT) products and attract investments in the automotive value chain. This scheme attracted substantial investments, exceeding target estimates, indicating strong industry interest. Similarly, the PLI Scheme for the National Programme on Advanced Chemistry Cell (ACC) Battery Storage, with an outlay of $2.1 billion, aims to boost the capabilities of India in battery manufacturing.

The EV Industry has high expectations from the Union Budget to be presented in July’2024 after the resuming of the Modi Government’s third term. These initiatives, combined with state-level policies promoting EV purchase and local manufacturing, align with Indian commitment to the Paris Agreement and the goal of achieving significant EV adoption by 2030.

Anand Deodhar, Group CIO, Force Motors Pvt. Ltd

Digitising sourcing and manufacturing processes in the EV industry assists operations management while boosting production capabilities in response to evolving market demands. Sonam Motwani, CEO and the Founder of Karkhana.io, shares her expertise in digitising manufacturing while navigating challenges.

Innovation is propelling growth in the fast-paced world of electric vehicles (EVs), with digitised sourcing and manufacturing processes emerging as a game changer. This digital transformation is more than implementing new technology; it is about altering how EV components are obtained, developed, and manufactured to simplify processes, improve efficiency, and increase output. This digital revolution provides several benefits, such as streamlining operations and improving efficiency and manufacturing capacities across the EV sector.

Challenge: Complexity in a new landscape

Digitising EV sourcing and manufacturing processes presents unique complexities to traditional automotive manufacturing. The intricate nature of EV components, such as batteries and electric motors, requires specialised expertise and stringent quality control measures. EV manufacturers collaborate with a diverse network of suppliers for advanced technology components, adding layers of complexity to supply chain management. The rapid pace of innovation in EVs further amplifies the challenge, necessitating continuous adaptation to evolving technologies and market dynamics. Despite these complexities, digital transformation offers opportunities for efficiency gains, cost optimisation, and accelerated innovation in the dynamic EV industry.

Digital transformation across the chain

Supply chain management receives a considerable boost from digitisation. Digital platforms provide visibility into the entire supply chain, from raw material sourcing to final product delivery. This visibility enables manufacturers to optimise inventory levels, minimise stockouts, and ensure timely component deliveries, ultimately reducing production delays and improving overall efficiency.

Another area where digitisation shines is efficient component sourcing. With digital platforms, EV manufacturers gain access to a vast network of suppliers. These platforms centralise supplier information, allowing manufacturers to quickly identify sources for required components at competitive prices, reducing the time and costs associated with sourcing.

Through digitisation, data-driven decision-making becomes a reality. Manufacturers gain valuable insights into inefficiencies, bottlenecks, and areas for improvement by collecting and analysing data throughout the manufacturing process. This data-driven approach allows for continuous optimisation of production processes, driving efficiency and innovation.

Digital manufacturing processes also enable greater customisation and personalisation of EVs. Manufacturers can easily modify product designs and configurations to meet specific customer requirements, catering to the growing demand for personalised vehicles.

Furthermore, digital manufacturing processes are inherently scalable and adaptable, allowing manufacturers to quickly respond to changing market demands. Whether ramping up production in response to increased demand or introducing new product variants, digital technologies enable manufacturers to adapt swiftly without significant retooling or reconfiguration.Quality control also benefits significantly from digitisation. Real-time monitoring of manufacturing processes and quality parameters enables manufacturers to track key performance indicators and identify defects or deviations early on. By taking corrective actions promptly, manufacturers can maintain high-quality standards throughout the production process.

Digital tools, such as Computer-Aided Design (CAD) software and virtual prototyping, enhance design and prototyping processes. These tools enable rapid iteration of EV components, reducing the time and resources required for physical prototyping and accelerating the product development cycle.

Predictive maintenance, made possible by IoT-enabled sensors and data analytics, minimises unplanned downtime by allowing manufacturers to monitor the health and performance of EV components in real-time. By analysing data on equipment usage, temperature, and other parameters, manufacturers can predict maintenance needs and schedule proactive maintenance. 

Energy efficiency and sustainability are central tenets of the EV industry, and digitisation is crucial in achieving these goals. By optimising energy consumption and resource utilisation in manufacturing processes, digital technologies help reduce the carbon footprint of manufacturing operations, aligning with environmental objectives.

One of the most significant advantages of digitisation in the EV space is streamlined communication and collaboration. Digital platforms facilitate seamless interaction among stakeholders, including suppliers, manufacturers, and designers. Real-time messaging, file sharing, and collaboration tools ensure everyone is synchronised, minimising misunderstandings and delays. This enhanced communication lays the foundation for efficient collaboration throughout the production process.

The road ahead

Digitisation is not a solo endeavour. Effective implementation requires collaboration between EV manufacturers, suppliers, and logistics providers. Companies like Karkhana.io exemplify the potential of digital platforms to transform the EV industry. By linking manufacturers with a broad array of trusted suppliers and offering live updates on the manufacturing journey, manufacturers can make informed decisions, streamline processes, and foster innovation within the EV sector. The EV industry can forge a fully digital ecosystem through collaboration and the adoption of unified data exchange standards.

Furthermore, digitisation paves the way for a sustainable EV production process. Manufacturers can reduce their environmental footprint with thoughtful resource allocation and minimising waste. Additionally, real-time data on supply chains can help identify ethically sourced materials, promoting responsible practices within the industry.

In conclusion, digitising sourcing and manufacturing processes drives efficiency and production capabilities in the electric vehicle industry. By embracing digital technologies, EV manufacturers can achieve greater operational efficiency, higher productivity, and increased competitiveness in a rapidly evolving market.

Shirish Kulkarni, Founder & MD, STROTA ConsulTech Pvt Ltd

Atul Jairaj, Partner, Deloitte India