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Ather Energy to Set up Manufacturing Plant in Maharashtra

Ather Energy

Ather Energy, an Electric Vehicle (EV) manufacturer, will be developing a manufacturing plant in Aurangabad Industrial City in Bidkin, Maharashtra.

The company will manufacture electric two-wheelers and battery packs at its upcoming manufacturing plant in Maharashtra. Mr. Devendra Fadnavis, Deputy Chief Minister of Maharashtra shared in his Twitter (X) post dated 26th June 2024 that the investment for this upcoming plant is estimated to be over Rs. 2,000 crore.

Production Capacity & Job Opportunites at Ather Energy’s Upcoming Plant

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Mr. Fadnavis mentioned in his Twitter (X) post “This state-of-the-art plant will annually produce up to 1 million units of vehicles and battery packs both”. Apart from this, the company currently operates two manufacturing plants in Hosur, Tamil Nadu.

This upcoming plant is anticipated to generate about 4,000 employment opportunities in Maharashtra.

According to Mr. Swapnil Jain, Co-Founder of Ather Energy, this EV manufacturing plant is expected to be commissioned within the next two years.

Commenting on this development, Mr. Jain, said “With our expanding product portfolio and the increasing consumer demand for our scooters, we decided to strategically diversify our production capabilities to an additional location that will be closer to more markets in the country”.

Less Logistics Costs & Fast Product Deliveries – Ather Energy’s Co-Founder

According to Mr. Jain, the establishment of this new plant in Maharashtra will allow Ather Energy to broaden its market coverage by lowering logistics expenses and speeding up product deliveries across the country. He stated, “The new manufacturing facility will not only rationalise our logistic cost but will also hasten the delivery of finished products to our customers”.

Adding to this, Mr. Tarun Mehta, Co-founder and CEO of Ather Energy highlighted that the upcoming plant in Maharashtra will enable the company to better serve domestic markets.

Significance of Ather Energy’s Upcoming Plant for Indian EV Sector

India’s EV sector is witnessing rapid growth. A report by JMK Research & Analytics states that during FY-24, EV sales in India crossed the 1.7 million mark, out of which 55% sales were those of 2-wheeler EVs. Ather Energy is amongst the top three players in the 2-wheeler EV domestic market, OLA Electric and TVS being the other two. According to the data of Society of Manufacturers of Electric Vehicles, Ather Energy commands around 12% share of the Indian electric two-wheeler market as of FY-24.

A recent Frost & Sullivan report titled “An Overview of Indian Electric Vehicle Market: Trends And Future Outlook” predicts that by 2030, 2-wheeler EVs will account for 50-60% of the country’s total 2-wheeler demand. Considering this along with Ather’s 2-wheeler EV market share, the company’s Maharashtra plant assumes substantial significance.

About Ather Energy: Bengaluru-headquartered Ather Energy, an Electric Vehicle manufacturing company, was founded in 2013. The company currently operates two manufacturing facilities in Hosur, Tamil Nadu, with one dedicated to battery production and the other to vehicle assembly.