Hyundai Motor and Kia Join Hands with Exide Energy to Boost EV Battery Production in India

Hyundai Motor Company (Hyundai Motor) and Kia Corporation (Kia) have officially inked a Memorandum of Understanding (MOU) to embark on a strategic partnership with Exide Energy Solutions Ltd. (Exide Energy), a renowned Indian battery company, as a crucial component of their expansive electric vehicle (EV) agenda. The momentous signing ceremony unfolded at Hyundai Motor Group’s prestigious Namyang Research and Development Center in South Korea. Key figures present included Heui Won Yang, President and Head of Hyundai Motor and Kia’s R&D Division; Chang Hwan Kim, Head of Electrification Energy Solutions Tech Unit; Duk Gyo Jeong, Head of Electric Vehicle Parts Purchasing Sub-Division; and Dr. Mandar V Deo, the esteemed Managing Director and CEO of Exide Energy.

Central to Hyundai Motor and Kia's strategic maneuver is the amplification of their EV initiatives in the Indian market. Their primary objective entails the localization of EV battery production, with a keen focus on lithium-iron-phosphate (LFP) cells. This decisive move is poised to position them as trailblazers, spearheading the utilization of domestically manufactured batteries in their forthcoming EV models tailored for the Indian consumer base.

President Heui Won Yang underscored the significance of India as a pivotal market for vehicular electrification. He emphasized the alignment with the government's ambitious carbon neutrality objectives, highlighting the imperative of attaining cost competitiveness through localized battery production. Through this landmark collaboration with Exide Energy Solutions Ltd., Hyundai Motor and Kia envisage gaining a competitive edge by integrating locally sourced batteries into their future EV offerings targeted at the Indian market.

Exide Industries Ltd., headquartered in Kolkata, boasts a rich legacy of over 75 years as a premier supplier of lead-acid batteries in India. Notably, Exide Energy Solutions Ltd. stands as its wholly-owned subsidiary, established in 2022 with a strategic foray into the realm of Lithium-Ion cell, module, and pack manufacturing, encompassing a diverse portfolio of chemistries and form factors. The alliance forged with Exide Energy signifies the onset of Hyundai Motor and Kia's concerted efforts to fortify their exclusive battery development, production, supply, and collaborative ventures in the burgeoning Indian market.

India, renowned globally as a highly promising automotive hub, is swiftly emerging as a pivotal player in the realm of EV production and sales. Recognizing the strategic imperatives entwined with the Indian market, Hyundai Motor and Kia are taking proactive strides to introduce their EV models, endeavoring to establish a commanding presence and carve a niche for themselves as frontrunners in the vibrant landscape of the Indian automotive industry.