Hyundai Motor, Kia push EV biz via strategic pact with Exide Energy

CHENNAI: Hyundai Motor Company (Hyundai Motor) and Kia Corporation (Kia) signed a Memorandum of Understanding (MOU) for strategic cooperation with Exide Energy Solutions Ltd (Exide Energy), a leading Indian battery company, as part of their electric vehicle (EV) expansion plans.

With the expansion of their EV plans for the Indian market, Hyundai Motor and Kia aim to localize their EV battery production, specifically focusing on lithium-iron-phosphate (LFP) cells. This strategic move will position them as the pioneers in applying domestically produced batteries in their upcoming EV models in the Indian market.

“India is a key market for vehicle electrification due in part to the government’s carbon neutrality goals, which makes securing cost competitiveness through localised battery production crucial,” said Heui Won Yang, president and head of Hyundai Motor and Kia’s R&D division. “Through this global partnership, we will gain a competitive advantage by equipping Hyundai Motor and Kia’s future EV models in the Indian market with locally produced batteries.”

The signing ceremony took place at Hyundai Motor Group’s Namyang Research and Development Center in South Korea, attended by Heui Won Yang, Chang Hwan Kim, head of electrification energy solutions tech unit, Duk Gyo Jeong, head of electric vehicle parts purchasing sub-division and Mandar V Deo, MD-CEO of Exide Energy.

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.