Auto giants flock to southern India as the EV era is about to kickstart,
Tamil Nadu is at the top of the table in manufacturing.
- Southern states account for around 33 percent of India's EV manufacturing and around 23 percent of sales.
- Tamil Nadu is pitching itself to be “the preferred destination for EV manufacturing in South-East Asia, as per its new EV policy.
- Tamil Nadu is the largest producer of EVs in India with about 46 percent of all the two-wheelers in India that come out of Tamil Nadu.
- Between 2020 and the first half of 2023, the total investment flow into the country's EV sector was US$ 28,820 million.
- South India attracted around 33 percent of these investments. Within South India, Tamil Nadu (15 percent) led the states and was followed by Karnataka (11 percent) and Telangana (7 percent). The southern states accounted for around 23 percent of sales oF EVs.
- Southern states stand out as they have well-defined EV policies, established manufacturing eco-systems and a strong focus on research and development
-The integration of advanced technologies, such as in-built chargers in EVs, represents one of the major factors propelling the market growth in South India.
-Tamil Nadu leads the pack because of its ready-made EV ecosystem that attracts new players and also enables existing manufacturers of fossil-fuel vehicles to transition to EV manufacturing
- Tamil Nadu has a skilled labour pool, with over 800 engineering colleges ensuring a steady stream for the workforce
- TN is equipped with a strong supply-chain ecosystem, making it easier for us to locally source components necessary for manufacturing and assembly. This, in turn, will help us in improving cost and time efficiencies.
- Governments from the southern states are going all out to attract investors in the EV space, TN has the biggest differentiator.
- The bureaucracy in Tamil Nadu is fantastic. Despite the change in the administration, the adherence to the policy is enormously strong.
- Karnataka, which was criticised for losing its home grown Ola's investment to Tamil Nadu, is now going in full swing to attract investments including Tesla. The government of Karnataka has set a target of achieving 100 percent EV adoption for all urban commuting by 2030.
- To support EV manufacturing, Tamil Nadu will further strengthen the ecosystem and address other concerns of the investors.
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