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TN to get new e-vehicle manufacturing park near Chennai

Tamil Nadu will soon get its first exclusive manufacturing park for electric vehicles (e-vehicles). The announcement comes months after the state rolled out its policy for e-vehicles in September 2019. 

The state’s Minister for Industries MC Sampath told the legislative assembly that Tamil Nadu is one of the top states in the country for the automobile sector. He added that PSA, a French automobile maker, has sent investment. Sampath also stated that Tamil Nadu will set up a 4000-acre e-vehicle park.

As per a Times of India report, though there is no official word on the location, the vehicle park is touted to come up in Manalur, in Tiruvallur district where plots of land have been identified by the government. Tamil Nadu’s State Industrial Promotion Corporation (SIPCOT) has also reportedly hired consultants to prepare a detailed project report for the park. 

Electric Vehicle Policy-Investing in Tamil Nadu rolled out by the state in last September emphasised on establishing e-vehicle parks to promote e-vehicle manufacturing in the state. The policy also provides subsidies to Micro, Small and Medium scale enterprises (MSMEs) engaged in production of e-vehicle components or charging mechanisms.

The policy also provides interest concession for medium-sized industries that avail loans from Tamil Nadu Industrial Investment Corporation (TIIC) under this scheme. All these subsidies and concessions will be available to industries that are established till the year 2025.  

MC Sampath also told Times of India that a Taiwan-based company has decided to invest Rs 4000 crore to set up a manufacturing unit for charging solutions for e-vehicles between Krishnagiri and Hosur, and that nearly 2000 jobs will be created due to this by December. Similarly Ather Energy will also be setting up a manufacturing plant near Hosur, which will manufacture e-vehicles and batteries, at an investment of Rs 635 crore. This will create more than 4000 jobs by March 2021, the minister said.

Source: The News Minute