TVS Motor Company, India’s fourth largest two-wheeler manufacturer, has signed a Memorandum of Understanding (MoU) with the Government of Tamil Nadu for an investment of Rs 1,200 crore in future technologies and electric vehicles (EV).
The MoU was signed in the presence of Tamil Nadu Chief Minister MK Stalin and chairman of TVS Motor Company, Venu Srinivasan, at the Tamil Nadu Investment Conclave 2021 in Coimbatore.
The investment will be spread over four years, and will be mainly for the design, development and manufacturing of new products and capacity expansion in the EV space.
EV subsidiary
A few months earlier, TVS had announced plans to invest Rs 1,000 crore in the EV business, and is setting up a new subsidiary for this.
Presently, iQube is the only all-electric product in the market from TVS.
TVS’s first all-electric scooter iQube was launched in January 2020. The battery-powered scooter with a range of 75 km is available in New Delhi, Chennai, Pune, Coimbatore, Kochi and Bengaluru, as part of the 33 cities roll out. However, like the rest of the industry, the company too is struggling to ramp up production because of a shortage of parts.
In September, the Chennai-headquartered company picked up 80 percent stake in a Swiss company EGO Movement for $17.9 million. EGO Movement is a Swiss-technology company providing a wide range of mobility solutions through a portfolio of e-bikes, e-cargo bikes, and e-scooters.
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