Ola Electric, a company backed by SoftBank Group, has announced plans to invest $920 million in the southern Indian state of Tamil Nadu. The investment will be used to manufacture electric cars and batteries for electric vehicles (EVs), in response to the growing demand for EVs in India.
Ola Electric Technologies and Ola Cell Technologies, subsidiaries of Ola, will invest 76.14 billion rupees ($920 million) in Tamil Nadu. The company aims to annually produce 140,000 cars and hire 3,111 workers through this investment, building on its existing production of e-two wheelers in the state. In November, the company’s cumulative production numbers topped 100,000.
See also: Ola Electric unveils its first Indian-made battery cell, mass production from 2023
The move comes as Tamil Nadu, which is responsible for nearly one-third of India’s automotive exports, aims to increase EV manufacturing. As part of a policy announced this week, the state government is waiving road tax, registration charges, and permit fees for EVs.
Ola’s expansion plans extend beyond India, with the company looking to enter markets in Latin America, ASEAN, and the European Union after launching in Nepal last year.
