The Tata Group is in the final stages of announcing its partnership with Envision AESC, a renowned battery technology company, to secure critical expertise for its net-zero future.
Envision AESC, a global battery cell supplier based in Japan, stands as the lead contender among various potential partners such as LG Chem, CATL, and FinDreams. This move is part of the Tata Group’s ‘Project Apollo’ initiative pursued over the past year.
Sources indicate that the battery venture might be led by Tom Flack, the former sourcing head of Tata Motors, who now heads Tata Agratas, a battery cell manufacturing company. This project, which involves substantial investment and a separate arm, aims to bring private equity funding for significant capacities.
Tata has already committed significant investments to battery cell manufacturing in both India and the United Kingdom. In India, over $1.3 billion has been allocated for cell manufacturing in Gujarat, catering to Tata Motors’ EV portfolio. Additionally, a 40GW global battery cell gigafactory is set to emerge in the UK, backed by an investment of over £4 billion.
Envision AESC is being considered for its high-powered NMC cells, primarily for JLR, while solid state batteries are also being explored. The partnership structure, whether a licensing agreement or an equity partnership, will be revealed in the coming months.
Tata Group’s strategy involves exploring various chemistries, including LFP, NMC in prismatic and cylindrical form, and solid state technologies. Separate solutions are envisioned for Tata Motors’ EV ambitions in India and for JLR’s luxury car market.
As part of Tata’s vertical integration approach, multiple Group companies such as Tata AutoComp, Tata Technologies, Tata Consultancy Services, and more will collaborate to create a comprehensive EV production and deployment solution.
Tata’s collaboration with Envision AESC signifies a significant step toward preparing for a net-zero future and expanding its presence in the global EV market.