JSW Motors' India Car Launch Faces Delay Over China Parts Approval: Reuters

India's JSW Motors has alerted government officials that its first vehicle launch may face delays unless import licenses for Chinese automotive parts are expedited, according to a Reuters exclusive report published Tuesday.

The $3 billion automotive venture, part of billionaire Sajjan Jindal's JSW Group, sent a letter to India's industries ministry in December requesting faster certification for Chinese suppliers of safety glass components, including windshields and sunroofs, Reuters said.

JSW Motors plans to launch its debut car in the second half of 2026 and manufacture hybrid and electric vehicles in Maharashtra state. However, India's quality control regulations—introduced in 2020 to curb low-quality imports from China—require all overseas suppliers to obtain local certification before importing goods, a process that can take several months, according to the report.

"We require to import some of the components for the planned vehicles through import route as the same is not available on a 'off-the-shelf' basis with Indian automotive suppliers," the company stated in its December 18 letter, Reuters reported.

The ministry has not responded to JSW's request, a source told Reuters. Both JSW Motors and the industries ministry declined to comment on the matter, according to the report.

Reuters said JSW is exploring alternative suppliers in Germany and Vietnam, though these options would increase costs and vehicle prices.

The report highlights broader challenges in India-China commercial relations following a 2020 border clash. Trade economist Biswajit Dhar told Reuters that while bilateral relations are improving, the Indian government will proceed cautiously, particularly as it negotiates a major trade agreement with the United States.

JSW Group, primarily known for steel and cement production, is in technology partnership discussions with China's Chery Automobile and holds a stake in JSW MG Motor India, Reuters noted.