Ashok Leyland Plans to Invest Rs 5,000 Crore in EV Battery Manufacturing In India: Strengthening Hinduja Group’s EV Vision

Key Highlights:

• Rs 5,000 crore investment in 7-10 years.

• Partnership with China’s CALB Group.

• Focus on battery localisation in India.

• Support for EV and energy storage needs.

• Aligned with the Atmanirbhar Bharat vision.

Ashok Leyland, one of India’s leading commercial vehicle manufacturers, has announced a significant step towards clean mobility. The company will invest over Rs 5,000 crore in the next 7-10 years to establish large-scale battery production facilities in India. This move is part of the Hinduja Group’s long-term strategy to strengthen its electric vehicle business.

The investment will be made through a partnership with China’s CALB Group, a global leader in battery technology. Together, they plan to develop and manufacture next-generation batteries in India, not just for Ashok Leyland’s electric vehicles but also for India’s growing energy storage needs.

Focus on Local Battery Ecosystem

Ashok Leyland aims to create a complete battery ecosystem in India. From cell production to battery pack assembly, the company will localise every step. This will reduce dependency on imports, cut costs, and make electric buses, trucks, and mobility solutions more affordable.

The plan also supports the Indian government’s Atmanirbhar Bharat vision by promoting self-reliance in advanced technologies. Local manufacturing of batteries will further strengthen supply chains and make the industry more resilient.

Beyond vehicles, these batteries will also be used in energy storage systems for homes, industries, and clean energy solutions.

Exclusive Partnership with CALB Group

To achieve this ambitious goal, Ashok Leyland has signed an exclusive agreement with CALB Group. CALB is among the world’s leading players in advanced battery technology. Through this collaboration, India will gain access to world-class expertise and global best practices.

The partnership will focus on setting up state-of-the-art production facilities in India. The batteries will meet international safety and performance standards, ensuring both efficiency and reliability. Technology transfer from CALB will also help build strong local capabilities.

This collaboration comes at a time when India-China relations are improving, making the partnership even more relevant and significant.

Boost to India’s EV Market

India’s electric vehicle market is witnessing rapid growth, especially in buses, trucks, and last-mile delivery vehicles. However, high battery costs continue to be a big challenge for wider adoption.

With Ashok Leyland’s investment in local battery production, costs are expected to reduce, reliability will improve, and adoption will accelerate. Experts believe this step will also inspire other Indian companies to invest in the EV battery value chain.

The Hinduja Group has already been investing in EV financing, leasing, charging equipment, and mobility services. This latest move strengthens its commitment to building a cleaner and more sustainable mobility future in India.

Also Read: Bhavesh Panchal Joins Magenta Mobility as CTO to Lead Digital Innovation

CMV360 Says

Ashok Leyland’s Rs 5,000 crore investment with CALB Group marks a turning point in India’s EV journey. By localising advanced battery production, the company will lower costs, strengthen supply chains, and accelerate clean energy adoption. This step not only boosts the commercial EV market but also supports India’s larger goal of becoming self-reliant in technology and sustainable mobility.