Ashok Leyland, CALB Partner for ₹5,000 Cr Battery Push Over Next 7-10 Yrs

Chennai-based Ashok Leyland, owned by the Hinduja Group, announced its plans to invest in the development and manufacturing of batteries for both automotive and non-automotive applications, including energy storage systems. 

The commercial vehicle manufacturer, while sharing these details in a release, stated, “In the backdrop of improving bilateral relations, Ashok Leyland has entered into a long-term exclusive partnership with CALB Group, one of the foremost battery technology companies in China.”

It also shared the importance of this partnership as yet another milestone for Ashok Leyland and Hinduja Group’s ongoing commitment towards electrification, with investments across Electric Vehicles, Electric Mobility-as-a-Service, Charging Equipment, Vehicle Financing and Leasing, and other areas.

Leadership View

Sharing the key leadership view on the latest agreement, Ashok Leyland said, “This will not only provide for Ashok Leyland & Switch’s own electric vehicle portfolio but will also cater to non-captive demand in the entire automotive sector as well as in energy storage sector. This business would entail investments of over Rs. 5000 Cr over the next 7-10 years.”

It also mentioned that this agreement was signed by Shenu Agarwal, Managing Director & CEO, Ashok Leyland, and Jacky Liu, CEO, CALB (HK) Co., Ltd, in the presence of Shom Hinduja, President, Alternative Energy and Sustainability Initiatives, Hinduja Group. Ashok Leyland will invest in battery localization in India. 

Dheeraj Hinduja, Chairman, Ashok Leyland, said, “Our strategic partnership with CALB is a significant step towards creating a localised battery supply chain in India to accelerate adoption of electric vehicles in India and reduce our dependence on fossil fuels.”

Shenu Agarwal, Managing Director & CEO, Ashok Leyland, said, “In the initial phase, the new battery business shall focus on automotive sector, and then move to non-automotive areas as well, including energy storage systems. A Global Centre of Excellence will be created to serve as a hub for research and development, fostering innovation in battery materials, recycling, battery management systems, and advanced manufacturing processes.”