EV batteries are the key components of electric vehicles storing and providing electrical energy for propulsion. EV batteries are composed of many individual cells arranged in series and parallel configurations to achieve the desired voltage and capacity.

Let’s analyze the strengths and weaknesses of each of the EV battery companies in India: –

• Exide Industries Ltd: Exide is one of the largest and oldest manufacturers of lead-acid batteries in India, with a market share of 40% in 2020. A strong distribution network, brand recognition, and customer loyalty in the Indian market. However, Exide is not without its challenge of transitioning from lead-acid to lithium-ion batteries, as the demand for the latter is increasing rapidly. The company is in partnership with a Swiss company, Leclanché, to set up a lithium-ion battery manufacturing facility in Gujarat, but it still lags behind its competitors in technology and innovation.
• Amara Raja Batteries Ltd: Amara Raja is another leading manufacturer of Lead-acid batteries in India, with a market share of 35% in 2020. A diversified product portfolio, catering to sectors such as automotive, industrial, telecom, and renewal energy. A strong research and development capability, with investment in developing advanced lead-acid batteries. However, the major challenge is in shifting to lithium-ion batteries, as there is limited experience and expertise in the segment. It recently announced its plans to enter the lithium-ion battery market with its ability to compete with the established players in this segment.
• Tata Group: It is one of the emerging players in the lithium-ion battery segment in India, with a market share of 10% in 2020. A strong presence and reputation in the automotive sector with strategic partnership with the state government of Gujarat, and other global players, setting up a lithium-ion battery manufacturing plant in Gujarat, with an investment of $2 billion. Tata Group faces the challenge of scaling up its production capacity, as it is currently limited to an output of 10 GWh. Sourcing the raw materials for lithium-ion batteries is a major challenge, such as lithium, cobalt, and nickel, as India depends mainly on imports of these materials.
• Reliance Industries: It is another emerging player in the lithium-ion battery segment in India with a market share of 5% in 2020. A strong financial and operational capability in India’s largest private sector company. It also got a strategic acquisition of a majority stake in Nexcharge, a joint venture between Exide Industries and Leclanché, a Swiss battery maker. However, Reliance Industries faces the challenge of expanding its market presence and customer base, relatively new to the EV battery segment. The challenge of developing and adopting new and improved technologies, such as solid-state batteries.
• Indian Oil Corporation: A Pioneer in the metal-air battery segment in India with a market share of 2% in 2020. A strong R&D capability, as India’s largest oil refiner. A strategic partnership with Phinergy, an Israeli startup, developing and manufacturing metal-air batteries for EVs in India. However, the Indian Oil Corporation facing the challenge of commercializing and popularizing its metal-air batteries, in the nascent stage of development and adoption. However, the challenge of overcoming the technical limitations and drawbacks of metal-air batteries, such as low power density, high self-discharge, and low cycle life.

Company Name	Market Share in 2020	Battery Type	Product Portfolio	Pricing Strategy	Distribution Network	Customer Segment	Technology Innovation	R&D Capability
Exide Industries Ltd	40%	Lead-acid	Automotive, industrial, telecom, and renewable energy batteries	Low-cost, mass-market	Strong, pan-India	B2C and B2B	Low, transitioning to lithium-ion	Moderate, partnered with Leclanché
Amara Raja Batteries Ltd	35%	Lead-acid	Automotive, industrial, telecom, and renewable energy batteries	Low-cost, mass-market	Strong, pan-India	B2C and B2B	Low, transitioning to lithium-ion	High, diversified R&D
Tata Group	10%	Lithium-ion	Automotive, telecom, and energy storage batteries	Premium, niche-market	Moderate, regional	B2C and B2B	High, advanced lithium-ion	High, strategic partnership with Gujarat and global players
Reliance Industries	5%	Lithium-ion	Automotive, telecom, and renewable energy batteries	Premium, niche-market	Moderate, regional	B2C and B2B	Moderate, standard lithium-ion	Moderate, strategic acquisition of Nexcharge
Indian Oil Corporation	2%	Metal-air	Automotive batteries	Premium, niche-market	Low, limited	B2C and B2B	High, innovative metal-air	High, strategic partnership with Phinergy
Others	8%	Various	Various	Various	Various	Various	Various	Various

Sources:- allabout circuits, datamyte, auto economic times, interplex

FAQs

What are some of the leading EV battery companies in India?

Some of the leading EV battery companies in India include Exide Industries Limited, Amara Raja Batteries Limited, Tata Chemicals Limited (Tata Chemicals Batteries), and Hero Electric (Hero Electric Energy Pvt. Ltd.).

What are the strengths of Exide Industries Limited in the EV battery market?

Exide Industries Limited is one of the oldest and most established battery manufacturers in India with a strong brand reputation. The company has a wide distribution network and offers a diverse range of battery solutions for various applications, including electric vehicles.

What are the weaknesses of Exide Industries Limited in the EV battery market?

Exide faces competition from newer entrants focusing specifically on EV batteries, potentially limiting its ability to innovate and adapt quickly to evolving technology trends in the electric vehicle market.

What are the strengths of Amara Raja Batteries Limited in the EV battery market?

Amara Raja Batteries Limited is known for its high-quality products and advanced manufacturing capabilities. The company has strong R&D capabilities and a focus on innovation, which positions it well in the rapidly evolving EV battery market.

What are the weaknesses of Amara Raja Batteries Limited in the EV battery market?

Despite its strengths, Amara Raja faces stiff competition from both domestic and international players in the EV battery market. Additionally, the company may need to invest further in scaling up its production capacity to meet growing demand.

What are the strengths of Tata Chemicals Limited (Tata Chemicals Batteries) in the EV battery market?

Tata Chemicals Limited, through its subsidiary Tata Chemicals Batteries, has strong financial backing and access to resources within the Tata Group. The company benefits from Tata’s established presence in the automotive industry and its focus on sustainability and innovation.

What are the weaknesses of Tata Chemicals Limited (Tata Chemicals Batteries) in the EV battery market?

Tata Chemicals Batteries is a relatively newer player in the EV battery market and may face challenges in establishing itself as a preferred supplier compared to more established competitors. The company may also need to invest in building brand awareness and distribution channels.

What are the strengths of Hero Electric (Hero Electric Energy Pvt. Ltd.) in the EV battery market?

Hero Electric, primarily known for its electric two-wheelers, has a strong understanding of the EV market and consumer preferences. The company’s expertise in electric mobility gives it insights into the specific battery requirements for EVs, which it can leverage in its battery offerings.

What are the weaknesses of Hero Electric (Hero Electric Energy Pvt. Ltd.) in the EV battery market?

Hero Electric may face challenges in competing with established battery manufacturers that have a broader product portfolio and larger market presence. Additionally, the company’s focus on electric two-wheelers may limit its ability to cater to the diverse needs of other electric vehicle segments.

How do these companies address the challenges and leverage their strengths in the competitive EV battery market in India?

Companies address challenges through investments in R&D, expanding their product portfolios to meet diverse customer needs, building strong partnerships with OEMs and technology providers, and focusing on innovation and sustainability to stay ahead in the rapidly evolving EV battery market.