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Tamil Nadu Leads India In Electric Vehicle Manufacturing, Accounting For 40% Of The Country's Production

Tamil Nadu has emerged as a prominent Electric Vehicle (EV) producer in India. In the current year, out of the ten lakh EVs sold in the country, more than four lakh were manufactured in Tamil Nadu. These electric vehicles encompass a variety of types, including two-wheelers, four-wheelers, and cars, produced by ten different companies located within the state.

MK Stalin at an event in Chennai
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According to data from the Ministry of Road Transport and Highways' Vahan Dashboard, Tamil Nadu has emerged as a prominent Electric Vehicle (EV) producer in India. In the current year, out of the ten lakh EVs sold in the country, more than four lakh were manufactured in Tamil Nadu. These electric vehicles encompass a variety of types, including two-wheelers, four-wheelers, and cars, produced by ten different companies located within the state.

The Vahan Dashboard data reveals that between January and 20 September, a total of 10,44,600 EVs were registered with Regional Transport Offices (RTOs) across India. Hindustan Times reports that Tamil Nadu alone accounted for the sale of 4,14,802 electric vehicles, as indicated by the registration data from all the RTOs in the state.

An official hailed this accomplishment as a significant milestone showcasing the state's diverse and vibrant presence in multiple sectors, underscored by the government's dedication to fostering growth.

Tamil Nadu's vision of becoming the global capital for EVs is well underway, and it has already earned recognition as one of the top 10 automobile hubs worldwide. The government has been actively engaged in nurturing the EV ecosystem, encompassing battery manufacturing and charging infrastructure development.

On 14 February, Chief Minister M K Stalin unveiled the 'Tamil Nadu Electric Vehicles Policy 2023.' This new strategy is designed to promote the adoption of EVs, secure the state's ecosystem development, and establish EV-centric cities within Tamil Nadu. Additionally, it seeks to position Tamil Nadu as a premier destination for EV manufacturing in South-East Asia.

Cities like Tiruchirappalli, Coimbatore, Chennai, Madurai, Salem, and Tirunelveli have been earmarked as pilot cities for the implementation of e-mobility solutions across the state. New and expanding projects can avail themselves of various incentives under this policy, including SGST reimbursement, turnover-based subsidies, capital support, and subsidies for advanced chemistry cells.

The state anticipates investments exceeding Rs 50,000 crore in electric vehicle manufacturing by 2025. Tamil Nadu's objective is to manufacture 30 percent of all electric vehicles sold in India and make a substantial contribution to global exports by 2030.

The revised EV strategy includes proposals to adjust demand and energy pricing for public charging stations, pending regulatory approval. These adjustments entail a 75 percent reduction in existing costs for the initial two years and a subsequent 50 percent reduction in energy prices for the following two years.

The presence of major manufacturers like Hyundai, Nissan, TVS, Mahindra, and Daimler underscores Tamil Nadu's growth as a hub of the automotive industry, according to government statements. The state's robust manufacturing environment has attracted new players such as Ather Electric, Ola Electric, Ampere, and others, who have established electric vehicle production facilities.

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