Japanese car makers Suzuki and and Toyota have announced signing of a Memorandum of Understanding (MoU) to produce and launch electric vehicles in India by the year 2020. This MoU is a follow up to the agreement to form a partnership that was done in February this year.

The MoU states that Suzuki will produce EVs for India and supply Toyota with some of them. Toyota on the other hand will provide technical expertise and support for the same. Both car makers will also do a detailed study for wide spread acceptance and use of EVs in India.

This study includes establishment of charging stations, human resources development that includes training for after-service technicians and systems for the appropriate treatment of end of life batteries.

Suzuki has already announced plans of building a lithium-ion battery plant in Gujarat. Local manufacture of batteries should help keep EV prices competitive as batteries are one of the most expensive components of an EV.

This development will come as a shot in the arm for the Indian Government’s vision to move from internal combustion engined cars to EV’s by the year 2030.

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