The company had plans to use the Chevrolet Beat architecture to build their own EVs.
Very recently, we had reported that the JSW Group is looking to venture in the EV market with their own vehicles built on the Chevrolet Beat’s architecture. However, the company has now abandoned these plans. The company had stacked up Rs. 6500 crores for investment and was also in discussion with GM for the acquisition of their manufacturing facility in Talegaon, Pune.
JSW Group, after careful evaluation and noting down the uncertainties associated with the EV production business, decided not to pursue the plan. This move allows them to maintain capital backing and growth opportunities in the field of power and other related business. The company is already pursuing several projects in the power sector which require a lot of financial inputs.
JSW had plans to acquire GM’s manufacturing unit in Talegaon and use the facility to develop and make their own electric vehicles. It was highly likely that JSW would have used the Chevrolet Beat architecture to develop and manufacture their own electric vehicles using the same platform. This move comes after a few days of the government announcing the cancellation of EV subsidy for the private buyers, which made the company back out from EV manufacturing altogether.
The company has already invested Rs. 25 crores out of their allocated investment in 2018-2019 and was looking forward to having a concrete plan till the end of the March quarter. Their lack of experience in the EV market and the other associated risks made them to eventually scrap the entire decision. The company was also said to be putting together a team for the development, design and sales for a portfolio of electric vehicles which are unlikely to see the light in the Indian market. on The contrary, the steel manufacturer does not have any experience or presence in the automotive business.
JSW Group EV Plans
– JSW had plans to enter the EV market in India
– The company was likely to take over the GM manufacturing facility in Pune
– They were also making a team to develop a range of electric vehicles
Source – ETAuto.com