The partnership between Hyundai-Kia and Exide primarily focusses on lithium-iron-phosphate (LFP) cells for use in their upcoming locally-made EVs
Hyundai Motor Company and Kia Corporation have inked a Memorandum of Understanding (MoU) for strategic collaboration with Exide Energy Solutions, a prominent Indian battery company. This partnership is a key component of their broader electric vehicle expansion plans, signalling their commitment to leveraging the expertise of local players in the electric mobility sector.
The signing ceremony occurred at Hyundai Motor Group’s Namyang Research and Development Center in South Korea. Among the attendees were key figures from Hyundai Motor and Kia including Heui Won Yang, President and Head of Hyundai Motor and Kia’s R&D Division, Chang Hwan Kim, Head of Electrification Energy Solutions Tech Unit, and Duk Gyo Jeong, Head of Electric Vehicle Parts Purchasing Sub-Division. Representing Exide Energy Solutions was Dr. Mandar V Deo, Managing Director, and CEO.
In line with their ambitious electric vehicle expansion plans for the Indian market, Hyundai Motor and Kia are prioritising the localisation of EV battery manufacturing as it will help bring costs down. Their focus is specifically on lithium-iron-phosphate (LFP) cells. This strategic decision aims to establish them as leaders in integrating locally produced batteries into their future EV models for the domestic market.
By localising battery production, Hyundai Motor and Kia seek to enhance their competitiveness, and contribute to the growth of India’s EV ecosystem. Heui Won Yang, President and Head of Hyundai Motor and Kia’s R&D Division, said: “India is a key market for vehicle electrification due in part to the government’s carbon neutrality goals, which makes securing cost competitiveness through localized battery production crucial,”
Exide Industries, based in Kolkata, a leading lead-acid battery supplier in India, has over 75 years of experience in lead-acid batteries. Exide Energy Solutions, a wholly owned subsidiary of Exide Industries, was established in 2022 to venture into manufacturing Li-Ion cells, modules and packs incorporating multiple chemistries and form factors.
This strategic cooperation with Exide Energy marks the beginning of Hyundai Motor and Kia’s efforts to expand its exclusive battery development, production, supply and partnerships in the Indian market. India is rapidly emerging as a critical player in the production and sales of EVs. Hyundai Motor and Kia are taking advantage of their local presence by introducing their EVs to establish themselves among the leaders in the industry.