SUMMARY
Gogoro and Belrise Industries have decided to part ways in their $2.5 Bn (INR 20,000 Cr) joint venture for setting up a smart energy infrastructure in Maharashtra
In January this year, Belrise Industries and Gogoro announced a 50:50 partnership
Gogoro is planning to ramp up its investments in India to manufacture electric two-wheelers in the domestic market and to build a battery swapping infrastructure to aid these vehicles in the next few years
Taiwanese battery swapping major Gogoro and Pune-based Belrise Industries have reportedly decided to part ways in their $2.5 Bn (INR 20,000 Cr) joint venture for setting up a smart energy infrastructure in Maharashtra. However, Gogoro has decided to go solo in this project.
This comes at a time when Gogoro is planning to ramp up its investments in India to manufacture electric two-wheelers in the country and to build a battery-swapping infrastructure to aid these vehicles in the next few years.
Meanwhile, a Gogoro spokesperson told FE, “The original intent of the MoU was to move forward with a joint venture negotiation between Gogoro and Belrise, however, an agreement could not be reached.”
Inc42 queries sent to Gogoro did not elicit any response till the filing of this report.
In January this year, Belrise and Gogoro entered into a 50:50 partnership to invest $2.5 Bn in Maharashtra over eight years. However, Belrise opted out of the battery-swapping project, leaving its Taiwanese partner in a difficult situation.
The joint venture, initially aimed at constructing a smart energy infrastructure in Maharashtra through a battery swapping system and smart battery stations, was expected to be a leading source for mobility and energy storage. The battery-swapping infrastructure was expected to be deployed across Maharashtra this year, leveraging Gogoro’s energy ecosystem including battery stations, swapping technologies, and network management solutions.
In June, Gogoro received an offer letter from the Maharashtra government, inviting them to engage in an ‘Ultra Mega Project’ agreement for the manufacturing of vehicles, smart battery packs, and battery swap stations. The proposed deal, valued at over $1.5 Bn, encompasses financial incentives and state support.
“Gogoro continues to form different partnerships across our broad value chain with a variety of partners. We are focused on commercialising our battery swapping system starting with Delhi NCR and Maharashtra,” the spokesperson added.
The two companies, however, are still partners for manufacturing electric scooters where the Indian company is a key supplier for the new Gogoro CrossOver range.
Belrise operates 14 manufacturing facilities and boasts a clientele of over 32 companies, including industry giants like Bajaj Auto, Eicher Motors, Hero MotoCorp, Ashok Leyland, Tata Motors, Honda, and Mahindra. In the electric vehicle (EV) sector, Belrise serves clients such as Chetak Technologies, Ola Electric, and Hero Electric, manufacturing various components including chassis, suspension, and exhaust systems, among others.
On April 21, 2021, Gogoro entered the Indian market through a collaboration with Hero MotoCorp, the country’s largest two-wheeler manufacturer.
The joint initiative aimed to power Hero’s electric two-wheelers with Gogoro’s battery-swapping system. However, there have been no announcements regarding the progress of the project.
Having been a player in the e-mobility market since 2011, Gogoro introduced battery swapping for its e-scooters in Taiwan early on. The company went public in 2022 following its merger with Nasdaq-listed special-purpose acquisition company Poema Global.
Further, to advance its growth in India, Gogoro has commenced local production of electric scooter bikes.
Gogoro has strategic plans to introduce three models in the Indian market: CrossOver GX250, CrossOver 50, and CrossOver S.
Additionally, Gogoro has joined forces with other companies in India to electrify their mobility operations. For instance, in August 2023, the collaboration with Swiggy enabled the use of Gogoro smartscooters and battery-swapping infrastructure for more cost-effective hyperlocal deliveries. In November 2022, Gogoro joined forces with Zypp Electric, an EV-as-a-service platform aiming to grow its electric scooter fleet from 10,000 to 2 Lakh and expand to 30 Indian cities by December 2025.
India’s electric vehicle (EV) registrations for the current year have reached 13.29 lakh units, a significant rise from 10.24 lakh in 2022, according to Vahan data.
The robust support from investors, including prominent backers like Peak XV Partners and Lightspeed, along with sector-focused VCs like AdvantEdge and Speciale Invest, highlights the growing EV landscape in India. Amid the ongoing funding winter, the space has managed to lap up 32 funding deals worth $780 Mn till November this year as against a total of 35 deals worth $758 Mn last year.
