BYD will also set up a 20 gigawatt battery manufacturing plant.
We use Google Cloud Translation Services. Google requires we provide the following disclaimer relating to use of this service:
This service may contain translations powered by Google. Google disclaims all warranties related to the translations, expressed or implied, including any warranties of accuracy, reliability, and any implied warranties of merchantability, fitness for a particular purpose, and noninfringement.
Chinese electric vehicle (EV) manufacturer BYD is set to open its first factory in India. According to Indian media, the company is planning to set up a large-scale production center in Hyderabad, Telangana. It is estimated that the company will invest about 85 thousand crore Indian rupees (about 10 billion US dollars) for this project.
According to NDTV news, BYD has planned to construct the plant on an area of around 500 acres. The plot will be established with the capacity to produce 6 lakh units of vehicles annually. It is said that BYD is preparing to open a factory in Hyderabad after long discussions with the Telangana state government. According to the Business Standard portal, the Telangana government has assured full support for the project including providing land and other facilities.
Although BYD is available in India, the company has not yet operated any plant there. Importing electric vehicles from China has made the price of the vehicle expensive due to high customs duties. This has also limited the company's market competition, according to the Indian media. Setting up a manufacturing plant locally is expected to reduce costs and help increase BYD's competitiveness in India's EV market .
"For the last two years, the company has been looking for options to set up a factory in India, but due to strict regulations on Chinese investment, the plan could not go ahead," writes journalist Prateek Shukla in Business Standard, "BYD has entered into a technical partnership with Olectra Greentech, which operates electric buses in Hyderabad."
Apart from the production center, BYD is also planning to set up a 20 gigawatt battery manufacturing plant in India. The Indian market is becoming fertile for EVs and it seems that the world's biggest manufacturers are trying to make their share there . "US EV maker Tesla is also optimistic about India amid declining sales and continuing decline in share price," writes the Economic Times.
BYD's entry into India could be a big challenge for Tesla. Currently, local EV manufacturers like Mahindra and Tata in India, along with the joint venture (JV) between India's JSW and China's MG Motor, competition between Korean and Japanese car manufacturers will make it difficult for Tesla to gain significant gains in the Indian market, the Times reported.
