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12 May Switch Mobility Invests USD129m to Build EV Plant in India
Ashok Leyland’s [AL:IN] electric vehicle (EV) arm Switch Mobility will invest INR10bn (USD USD129m) in a dedicated EV plant in South India, as reported by Economic Times on May 10. People familiar with the matter disclosed that the EV plant would be located in the state of Tamil Nadu, on the outskirts of Chennai. The project will have a manufacturing capacity of 30,000 units of electric light commercial vehicles (e-LCVs) and 10,000 units of electric buses. Last month, Switch Mobility committed more than INR30bn (USD388m) of investment to zero-carbon public and commercial transportation.
The EV factory in India came after Switch Mobility started construction of an EV plant in Spain last December, which will manufacture electric cars, electric buses, and e-LCVs for the European market. At present, the company has 300 EVs on the road in India with an order book for over 650 electric buses. It unveiled that the Switch EV buses in India have traveled more than 7m kilometers, reducing 4,500 tons of carbon dioxide emissions. The company has an optimistic expectation for the Indian electric bus market. It plans to deliver over 500 buses by FY23 and raise the number ten-fold over the next three to five years. To fund its production expansion, Switch Mobility and its e-mobility-as-a-service unit Ohm Global are in talks with investors to raise USD250m to USD300m.