Tesla intends to invest in India after the meeting of Tesla CEO Elon Musk and PM Modi in New York. Now BYD, the world’s largest producer of EVs and plug-in hybrid vehicles, has submitted a $1 billion investment proposal to build electric vehicles and batteries in India, the world’s third-largest car market in partnership with a local company.
BYD and the Hyderabad-based local company, Megha Engineering & Infrastructures Limited have submitted a proposal to form an EV joint venture to the Indian regulators.
Their investment proposal also includes a plan to set up charging stations in India and build research and development and training centers.
BYD plans to scale up the production to 1,00,000 EVs annually in India over a few years but would initially begin by shipping vehicles in parts for assembly in the country as it works to build up a supply chain
BYD’s push into India is a strategy to challenge Tesla with its rapid global expansion, which still leads in sales of EVs alone. If the India investment is approved, it would give BYD a great advantage and a presence in all major global car markets.
BYD had previously invested $200 million in India. It is currently selling the Atto 3 electric SUV and the E6 EV in the Indian market and plans to launch its luxury electric sedan this year.
The long term plan of BYD is to build a full product line-up of the brand in India ranging from hatchbacks to luxury models.