Japanese auto majors Toyota Motor Corporation and Suzuki Motor Corporation signed a memorandum of understanding on Friday to work together to introduce electric vehicles in India by 2020. The two companies had concluded agreements in February to start discussions for a business partnership.
Under the memorandum, Suzuki will produce electric vehicles for the Indian market and will supply some to Toyota, who on the other hand will provide technical support.
“Toyota and Suzuki intend to conduct a comprehensive study of activities for the widespread acceptance and popular use of EVs in India,” the joint statement by the two companies read. “Such activities encompass the establishment of charging stations, human resources development that includes training for after-service technicians employed throughout sales networks and systems for the appropriate treatment of end-of-life batteries.”
As per the agreement, lithium-ion batteries, electric motors and other major components would be locally procured for the production of electric vehicles in India. The move will help the Indian government fulfil its “Make In India” initiative, the statement added.
In September, Union Road Transport and Highways minister Nitin Gadkari had warned car manufacturers of their vehicles being “bulldozed” if they did not move to alternative fuel. He had also said that the Cabinet was already discussing ways to set up charging stations for electric vehicles.
In June, NTPC, formerly known as the National Thermal Power Corporation, had set up its first electric vehicle charging stations in its offices in Delhi and Noida. The company had said that the project was in line with the Narendra Modi government’s vision to have only electric vehicles in India by 2030 to reduce pollution as well as cut fuel import costs.