The Electric Vehicle industry in India is one of the most rapidly growing sectors of all time. Although the economy and many big-scale manufacturing industries, including the EV sector, are hindered due to coronavirus, it still managed to stabilize and bounce back. Indian automotive companies and concerned authorities, along with the central government, are building a robust EV components market, which can reduce India’s dependency on the electrical parts from foreign countries.
The market bagged approximately Rs 4032Cr of revenue in FY19, and the EV components market is expected to grow at more than 22% CAGR in the next decade. Although it seems a non-achievable target to most industries and the markets, due to robust fundamentals of the EV components manufacturing companies and other OEMs, the sector is confident of achieving it within ten years. The Central Government has launched many initiatives like Make in India, Atma Nirbhar Bharat, etc., which promote local manufacturing of the goods and reduce imports from foreign companies.
Indian EV Components Manufacturing Companies Planning & Strategies
These initiatives have positively affected the growth of the EV components market in India. Earlier, the OEMs and production companies saw investing in the electric vehicle industry as a risk, but thanks to fundamentally strong plans for expanding the Electric Vehicle Ecosystem in the country. The nation is witnessing development in EV infrastructure, new Battery Charging and Swapping facilities, and improvement in EV services. It will directly attract new consumers to opt for electric vehicles rather than combustion engine vehicles. Therefore, many small scales and large scale companies and OEMs are seeing a bright future in this industry and hence plan to invest in the same.
Apart from the local manufacturing of EV components, many domestic and foreign companies are willing to invest in the EV sector in India. Many Automotive and Energy Producing companies have tied up to provide facilities to the industry. Since the local manufacturing of EV components is gradually increasing, the prices of such essential parts are decreasing. The government and the EV industry is actively working to reduce the expenses. The cost of electric vehicle supply equipment (EVSE), motors, controllers, vehicle interface control modules (VCIMs), thermal management systems, power distribution modules (PDMs), vehicle interface control modules (VCIMs) is expected to reduce by 20%. Hence it will directly contribute to reducing the market value of a brand new EV, which can be a good sign for the industry and will easily attract new customers.
How Delta Moto Corp is Contributing by Manufacturing EV Components in India?
Delta Moto Corp is an Indian origin company, which focuses on providing affordable E-Mobility solutions for the EV industry in India. The company is actively working on researching and manufacturing affordable and efficient EV components, and contributing to the setup of EV infrastructure in India. Delta Moto Corp manufactures various EV components including, battery technology, powertrains, advanced vehicle control solutions, fleet management infrastructure, digital instrument clusters, etc. It also aims to contribute to setting up numerous charging facilities around the country, which would help in easing the driving experience of the consumers. Delta Moto Corp has a vision of promoting the local manufacturing of EV components, which will reduce the dependency from other foreign countries.
Partnerships and mutual agreements among the Automobile and Energy Generating companies are one of the most efficient strategic planning, which can be beneficial for the EV industry in the long run. Earlier, the EV components were challenging to manufacture in the Indian markets. But due to the increase in investments, strategic tie-ups, and improving EV ecosystem, positively affect the growth of the Indian EV components market. The majority of revenue is expected to gain from the production and manufacturing of battery technology, followed by the EV powertrains. Although the EV sector is hindered due to COVIDD-19, with the strong fundamentals and financials, the electric vehicle industry is capable of regaining its pace.