Stellantis, boasts brands like Citroen, Jeep, and Fiat, and already has a presence in India through Jeep and Citroen
Leapmotor manufactures electric vehicles and remains relatively obscure in Europe, despite achieving monthly sales of 10,000 cars in China
The move could involve the introduction of budget-friendly electric cars, thereby intensifying competition in the green car segment
Chinese EV maker Leapmotor is looking to enter the Indian market after MG and BYD. Partnering with auto giant Stellantis, which recently bought a 20% stake in its global operations, the company seeks to announce its investments and India entry plans soon.
Headquartered in Hangzhou, Leapmotor manufactures electric vehicles and remains relatively obscure in Europe, despite achieving monthly sales of 10,000 cars in China.
On the other hand, Stellantis, a prominent player in the global automotive sector boasting brands like Citroen, Jeep and Fiat, already has a presence in India through Jeep and Citroen.
As per Times of India’s report, the partnership with Stellantis has bolstered Leapmotor’s confidence in venturing into India, despite stringent regulations governing investments from countries sharing a border with India.
BYD faced challenges expanding in India due to government approval issues, while MG Motor partnered with Sajjan Jindal’s JSW to comply with regulations. Stellantis’ $1.6 Bn investment in Leapmotor last year, acquiring about 20% stake, paved the way for a significant partnership.
As a result of this collaboration, Leapmotor International was formed, a joint venture primarily focused on exporting and selling Leapmotor products outside of China, the report added.
It further said, while Stellantis has not officially commented on Leapmotor’s potential entry into India, sources indicate that the move could involve the introduction of budget-friendly electric cars, thereby intensifying competition in the green car segment.
The anticipated announcement of Leapmotor’s India plans in partnership with Stellantis in the coming weeks signals a significant development in the Indian electric vehicle market.
Meanwhile, after crossing the 100,000 mark in March, electric two-wheeler registrations in the country dipped to almost an eight-month low at 64,013 units in April. Total registrations declined over 53% month-on-month (MoM) from over 137,000 units in March, as per Vahan data on May 1, amid lowered vehicle subsidies and seasonal factors.
Besides this, the central government is now working to establish a task force to create a roadmap for the electric vehicle industry. The Ministry of Heavy Industries (MHI) is working with various agencies to set up the task force, which would engage with various stakeholders, including original equipment manufacturers (OEMs), through meetings and workshops.
