Recently it was reported that BYD of China, one of the biggest EV producers in the world, had proposed investing $1 billion in India to build an EV and battery manufacturing facility there in collaboration with Hyderabad-based Megha Engineering and Infrastructures Ltd. However according to the latest information, the Indian government has rejected BYD’s proposal.
The two companies (BYD and Megha Engineering) sought to establish an electric vehicle manufacturing in Hyderabad in their application to the Department for Promotion of Industry and Internal Trade (DPIIT). However, according to an official, DPIIT which had sought opinions from other departments on the investment proposal rejected the proposal saying:
“Security concerns with respect to Chinese investments in India were flagged during the deliberations.”
“Existing rules do not allow such investments,” a second official who was involved in the discussions said. According to reports, the venture’s presentation to the DPIIT was to use the plant to produce 10,000–15,000 electric automobiles annually. One of the people involved in the matter said Megha was putting up the money while BYD was providing the technology and expertise.
Related: BYD Atto 3 EV Launched in India at INR 33.99 Lac
The decision was made as India and China continue to be at odds. With a comparable proposed investment of $1 billion, GWM (Great Wall Motors) had attempted to break into the Indian market. However, GWM also had to abandon its efforts to enter India in July of last year after failing to get official approvals despite waiting for around 2.5 years.
BYD is currently selling Atto 3 and e6 electric vehicles in the Indian market. The Chinese automaker now intends to introduce the Seal EV before the end of this year in the Indian market. The Seal EV, which debuted earlier this year at the 2023 Auto Expo in New Delhi, is likely to follow the same SKD (semi-knocked-down kits) path as the Atto 3 and e6.
A computer animation professional with over 23 years of industry experience having served in leading organizations, TV channels & production facilities in Pakistan. An avid car enthusiast and petrolhead with an affection to deliver quality content to help shape opinions. Formerly written for PakWheels as well as major publications including Dawn. Founder of CarSpiritPK.com
wpDiscuz 