Japanese conglomerate Mitsui & Co ('Mitsui') plans to build a $14 million (Rs 100 crore) plant to manufacture electric vehicle (EV) motors in India, in partnership with Taiwanese motor manufacturer Teco Electric & Machinery Co.
The plant will be setup in Bangalore, Karnataka and is expected to commence full production by the end of next year, producing 110,000 high-efficiency motors per year. The investment is being made by a joint venture, Temico, which set up in April 2018 by Mitsui (40%) and Teco (60%) to pursue the development, manufacturing, and sales of EV motors and EV powertrains globally.
Shinichiro Omachi, MD, Mitsui India said: "The plant creates 200 jobs and will contribute to the growth of India's EV industry, local manufacturing and reducing air pollution. Sustainability and mobility are key growth areas for Mitsui and we are investing more in EV businesses as the world moves towards a low-carbon society."
The JV will see Mitsui bring its global business expertise, while Teco specialises in the production of high-quality and competitive industrial and EV traction motors. As per the announcement the partners will establish a local company, Temico India, to build the plant, which will produce EV traction motor for electric vehicles.
The new plant will be Mitsui's second major EV venture in India following its investment made in SmartE, a leading three-wheeler electric mobility service provider in the country.
Mitsui says its previous investments in EV outside of India include EV Connect, a major provider of EV charging and software in the United States, as well as The Mobility House, a leading provider of EV charging solutions in Germany.