Tata, JSW Conglomerates to Invest $1 Billion in Electric Vehicle, Battery Technology

Indian Conglomerates Invest $1 Billion in Electric-Vehicle and Battery Technologies

Two Indian conglomerates, Tata Group and JSW Group, are set to spend nearly $1 billion to build domestic capabilities in electric-vehicle and battery technologies. This investment reflects a growing urgency among India's biggest companies to reduce their reliance on Chinese technology.

Tata Group and JSW Group are separately funding research and development centers aimed at building in-house expertise in next-generation battery technologies and advanced EV systems. Tata's battery unit, Agratas Ltd., is spending more than $400 million on a new R&D facility in Bengaluru focused on developing lithium iron phosphate, or LFP, and lithium manganese iron phosphate technologies.

LFP cells are increasingly in demand for their use in battery energy storage systems. The center is designed to help Tata develop and eventually manufacture those cells at home, and build intellectual property. Agratas currently has access to nickel manganese cobalt battery technology sourced from South Korea.

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In comparison, Tata Group's investment is focused on developing lithium iron phosphate and lithium manganese iron phosphate technologies, while JSW Group's investment will be used to localize vehicles developed with global partners, build proprietary software capabilities, and advance work on connected vehicles.

JSW Motors Ltd., the passenger-vehicle arm of billionaire Sajjan Jindal's conglomerate, plans to invest at least $500 million over the next five to six years in a research hub at Maharashtra. The center will focus on adapting global automotive technology to Indian conditions, including road environments and price points.

The moves are part of the auto industry's reassessment of long-standing partnerships that once delivered speed and scale but now face growing constraints. Companies that built their EV programs around Chinese technology are confronting delays, higher compliance burdens, and fewer guarantees of access to the latest technology.

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Beijing has become more selective about transferring advanced battery and EV technologies, and cross-border collaborations are increasingly slowed by regulatory scrutiny. Several Indian firms, including Reliance Industries Ltd., have encountered friction in joint ventures as technology transfer becomes harder to secure.