Kia Corporation and Hyundai Motor Company have forged a strategic partnership with Exide Energy Solutions, a leading Indian battery company, to advance their electric vehicle (EV) growth goals in India. The automakers have signed a MoU (Memorandum of Understanding) with Exide Energy Solutions. The agreement was signed during an event hosted at the Namyang Research and Development Center of the Hyundai Motor Group in South Korea.
Hyundai Motor Company and Kia Corporation are aiming to expand their electric vehicle (EV) portfolio in the Indian market and localize their electric vehicle battery production, with a particular focus on lithium-iron-phosphate (LFP) cells. As per a release issued by Hyundai, this strategic move will place both automakers as pioneers in using locally made batteries for their next electric vehicle models in India. The new collaboration with the Indian battery company signifies the commencement of their endeavors to broaden exclusive battery development, supply, and production.
Read more: Hyundai India Records Highest-Ever Sales Growth in FY24
India is emerging as a highly growing automotive market across the world. The country is currently a prominent player in the sales and production of electric vehicles. Hyundai Motor and Kia are all set to unveil their new EV models in India to share a sizable chunk of the surging Indian automotive market.
Commenting on the recent collaboration, the President and Head of Hyundai Motor and Kia’s R&D Division, Heui Won Yang, highlighted, “India is a key market for vehicle electrification due in part to the government’s carbon neutrality goals, which makes securing cost competitiveness through localized battery production crucial. Through this global partnership with Exide Energy Solutions Ltd., we will gain a competitive advantage by equipping Hyundai Motor and Kia’s future EV models in the Indian market with locally produced batteries.”
Exide Energy Solutions (EES) is a subsidiary of Kolkata-based Exide Industries Ltd., which is a lead-acid battery supplier in the nation. The company has more than 75 years of experience and leadership in the lead-acid battery market.
At Investor Day 2024, Kia shared its vision for the Indian automotive market. The President and CEO of Kia, Ho-Sung Song, disclosed the company’s plans to unveil two new models in India, including the Kia Carens EV. By providing excellent customer experiences and expanding its production bases in emerging regions of India, Kia hopes to increase the competitiveness of its products and generate new demand via purpose-built vehicles (PBVs).
Hyundai India is planning to launch five electric vehicles in India by 2032, while Kia is all set to add 15 EVs to its 2027 lineup. By 2030, the South Korean carmaker aims to sell 50 lakh passenger cars in India, with 30 percent being electric vehicles and 48 percent being SUVs.
