Home / Business and Economy / Tata's Agratas lands $530M EV battery deal with JLR
Tata's Agratas lands $530M EV battery deal with JLR
22 Jun
Summary
- Agratas secured a seven-year, $530 million supply agreement with Jaguar Land Rover.
- The deal begins this fiscal year and aims to enhance operational efficiencies.
- Agratas is constructing new battery plants in Gujarat, India, and the UK.
Tata's electric-vehicle battery subsidiary, Agratas, has secured a substantial seven-year supply agreement valued at $530 million with fellow group company Jaguar Land Rover. This crucial deal, effective from the current fiscal year, is poised to generate significant revenue and bolster operational synergies between the two entities.
Agratas plans to initially supply NMC battery cells, with the agreement expected to expand to include LFP chemistries. This strategic move aligns with India's push for self-reliance and reduces dependency on China.
The company is establishing a 20 GWh plant in Gujarat, India, and a 40 GWh facility in Somerset, UK. These expansions will serve captive demand from Tata group auto firms and external clients.
This partnership is vital for JLR's impending EV portfolio rollout, including the Range Rover Electric and new Jaguar models, as the brand moves towards an all-electric future. The agreement supports JLR's cost-saving objectives and reflects a growing trend of inter-group synergy for value creation.
