MUMBAI, 20 July 2023: Tata Group, the parent company of Tata Motors and Jaguar Land Rover, has announced its plans to build a state-of-the-art battery factory for electric vehicles (EVs) in the United Kingdom.
This significant development is seen as a much-needed boost to the ailing British car industry. The new battery plant is expected to create over 9,000 jobs and strengthen the UK’s position in the global transition to electric mobility.
Tata Group’s bold investment in the UK EV battery plant is a crucial step towards meeting the country’s growing demand for electric vehicles. The Faraday Institute estimates that the UK will require a total of 100GWh of local capacity by 2030 to meet EV production demands, a number that is expected to rise to 200GWh by 2040.
The new battery plant will not only cater to Tata Motors and Jaguar Land Rover but also supply batteries to the wider market. This move aligns with Tata Group’s ambition to play a significant role in the global shift towards sustainable transportation.
The company plans to maximize its renewable energy mix to achieve 100 percent clean power at the battery factory, contributing to a truly circular economy ecosystem. The facility’s sustainable practices will include in-house battery recycling to recover raw materials for reuse in new batteries.
British Prime Minister Rishi Sunak lauded Tata Group’s decision to set up its first battery factory outside India in the UK. He praised the move as “a huge vote of confidence in Britain” and expects it to create skilled job opportunities across the country while promoting the growth of clean industries.
The establishment of Tata’s UK EV battery plant is a crucial step for Jaguar Land Rover to comply with the European ‘rule of origin’ regulations for electric vehicles, which have become stricter due to Brexit agreements. From 2024, 45 percent of the value of EVs produced must come from the EU or the UK to qualify for trade without tariffs, a percentage that will increase to 65 percent by 2027.
Tata Group’s significant investment in the UK EV battery plant is poised to reshape the landscape of the British car industry and elevate the nation’s position in the global electric vehicle market. The factory’s production of sustainable batteries and its commitment to renewable energy further solidify Tata’s role as a sustainability-driven automotive leader. With job creation, technological advancements, and a commitment to clean energy, the new battery plant is a beacon of progress for the UK’s automotive sector.
- Tata Group’s USD 5bn investment in a UK-based EV battery factory is set to revitalize the British car industry.
- The battery plant will initially supply battery cells to Tata Motors and Jaguar Land Rover.
- The facility will have a capacity of 40GW, making it one of Europe’s largest battery cell manufacturing facilities.
- Tata Group aims to produce sustainable battery cells and packs for various applications within the mobility and energy sectors.
- The battery plant will focus on two chemistries – lithium iron phosphate (LFP) and nickel manganese cobalt (NMC).