Ather Energy to setup new EV manufacturing facility in Hosur

Bangalore-based electric vehicle maker Ather Energy has announced the signing of MoU with the Tamil Nadu government for a 400,000 sq.ft. manufacturing facility. The MoU was signed at the Investment and Skill Development Conclave in Chennai. The new facility will be located in Hosur, Tamil Nadu. The electric vehicle maker has stated this move as part of its plans to expand its reach in 30 cities in the next few years.

As per a media report, Chief Executive Officer, Ather Energy, Tarun Mehta said, “Ather is rapidly scaling up and we need to expand our production capacity to meet the growing demand. The new unit will help us meet the demand for the next few years across the country. Tamil Nadu has been a hub for automobile manufacturing, and they have been working closely with us in their effort to build an EV ecosystem. A manufacturing facility at Hosur was an ideal choice considering that it is close to our R&D facilities in Bengaluru and most of the existing and potential future supply base is operating in the region. The availability of a built-up option of our desired scale and proximity helped in the decision making.”

Ather will use the upcoming facility for EV production as well as for manufacturing of  lithium-ion batteries. This will create a number of jobs in the region. Ather says that over 4000 employees will be trained in requisite skills in the EV sector as a part of this initiative in the next five years. 

Ather Energy currently retails the 450 electric scooter in Bangalore and Chennai. Company’s current production capacity stands at 35,000-40,000 units per year and the new manufacturing plant will extend the same by 12-fold up to five lakh units per year. Currently, the company is fulfilling orders for the Ather 450 until the end of the year, whereas bookings are open for the third batch of the scooter with deliveries expected between February and March 2020.

What's your take on this post ? Comment: