The JSW company, led by Sajjan Jindal, is in discussions with Volkswagen AG to further its push into electric vehicles. The business has already declared that it will invest Rs 40,000 crore in Odisha to build an integrated EV and EV battery manufacturing complex.
Even though negotiations are still preliminary, reliable sources stated that the strategic joint venture with China’s SAIC Motor will not be impacted if the tie-up with Volkswagen is successful. The JSW company announced in December of last year that it would own 35% of MG Motor India.
The British car company Morris Garages is owned by SAIC Motor, which also fully controls MG Motor India. In order to provide mobility solutions with a clear focus on Indian consumers, SAIC had previously stated that it would continue to assist the joint venture with cutting-edge technology and products.
Though it’s early and a partnership may or may not happen, sources claim that the JSW-Volkswagen handshake may resemble a technology supply arrangement. Senior representatives of the German automaker reportedly met with Sajjan Jindal and other members of the group’s top leadership on Tuesday.
JSW Group and Volkswagen partnership
In response to news of the partnership, a JSW group representative informed The Telegraph, “We refrain from providing comments on market rumours and speculation.” This news follows the announcement, made a few days ago, of the Volkswagen Group and Mahindra & Mahindra’s shared vision for electric mobility collaboration, which included the first supply agreement for EV components.
Mahindra will be the first external partner to employ Volkswagen’s “groundbreaking unified cell concept,” which is the cornerstone of its battery strategy, as per the terms of the agreement.
Volkswagen‘s Modular electric drive matrix platform components will be supplied to the Indian company for use in its specially designed electric platform, INGLO. Beginning in December 2024, M&M intends to introduce five all-electric SUVs in India using this platform.
The firms had stated that the supply arrangement would span many years and have a lifetime volume of roughly 50 GWh. The group brands Volkswagen, Audi, and Skoda as well as outside partners Ford and Mahindra employ Volkswagen’s MEB platform and its components. It is not completely ruled out that JSW may use its MEB platform as well.
To establish the integrated EV and EV battery production project in the state, the JSW company and the Odisha government signed an agreement last month. The project will start at Paradeep and Cuttack. It is made up of EVs, a 50GWH EV battery facility, a copper smelter, a lithium refinery, and other component production facilities.
The $23 billion JSW group works in industries that include steel, energy, cement, paints, venture capital, steel, and sports.
