Amara Raja Signs MoU with Piaggio India to Develop Lithium-Ion Cells
Amara Raja, a leading player in the energy and mobility sector, has entered into a strategic Memorandum of Understanding (MoU) with Piaggio India, the Indian arm of the renowned Italian motor vehicle manufacturer Piaggio. The collaboration is aimed at developing and supplying advanced Lithium Iron Phosphate (LFP) Lithium-Ion (Li-ion) cells and chargers for Piaggio's electric vehicles (EVs), the company disclosed in its stock market filing.
Under this partnership, Amara Raja will work closely with Piaggio Vehicles to design and produce LFP Lithium-Ion cells and battery packs tailored for Piaggio's electric three-wheelers. Additionally, the collaboration will extend to the development of battery cells and packs for Piaggio's upcoming electric two-wheeler models, with all production taking place domestically. This initiative aligns with Amara Raja's broader goal of advancing EV technology in India and contributing to the country's energy transition.
Marking a significant milestone, Amara Raja recently held a grand groundbreaking ceremony for their Customer Qualification Plant (CQP) for cell manufacturing at Divitipally, Mahabubnagar district. The event also included the foundation stone-laying ceremony for the new manufacturing facility. Phase 1 of the battery pack plant was inaugurated during the ceremony, boasting an initial production capacity of 1.5 GWh. The plant is designed to produce Li-ion battery packs specifically suited for Indian environmental and operational conditions, catering to major electric vehicle original equipment manufacturers (OEMs) as well as meeting stationary energy storage needs.
The CQP, set to be operational by the first quarter of the next financial year, will be capable of producing various types of cells for customer testing and validation. This facility represents a significant advancement in India's efforts to localize EV technology, offering customized solutions to meet diverse customer requirements.
Amara Raja's project has gained additional momentum through its collaboration with Gotion Inobat (GIB), a partnership focused on technology transfer, manufacturing excellence, and customized solutions for the Indian market. "We anticipate this initiative will play a crucial role in advancing India's energy transition. Having always been pioneers in adopting new technologies, we take great pride in establishing world-class manufacturing units. The CQP is the first of its kind in India and will help us develop the perfect cell chemistry for each customer's requirements", stated Vikramadithya Gourineni, Executive Director of Amara Raja Energy & Mobility (ARE&M).
In recent developments, Amara Raja Advanced Cell Technologies (ARACT) also signed an MoU with Ather Energy, a leading Indian electric vehicle manufacturer, to focus on building market-relevant solutions for India's journey towards indigenizing EV technologies.
In June, Amara Raja Energy and Mobility made a strategic investment of Rs 170 crore (20 million euros) in the Norwegian battery manufacturing company InoBat AS, acquiring a 4.5 percent stake, which will eventually increase to 9.32 percent following the completion of the transaction. This investment underscores Amara Raja's commitment to expanding its footprint in the global battery manufacturing landscape while contributing to India's EV revolution.
