Chinese SAIC backed MG Motors may bring EV priced below Rs 10 lakh

British automaker MG Motors is working on an electric car for the Indian market. MG will price this car below Rs 10 lakh, a top executive of its Indian unit said.

“We feel that for markets like India, an electric car priced below Rs 10 lakh will work. The company is working on making it possible,” Rajeev Chhaba, managing director of MG Motors India, told ET in an interview. “We might price our second EV launch below Rs 10 lakh.” He, however, declined to give a timeline.

Chhaba said MG—a wholly owned subsidiary of Chinese brand SAIC—will also challenge the hybrid vehicle space in the country. They will do this by launching a 48-volt mild hybrid variant of its Hector SUV, available in India from June.

MG Motors also plans to launch a small electric SUV, ‘eZs’, towards the end of this year. MG launched the car in the overseas market on March 30, 2019. “This will be one of the most affordable EVs in India,” said Chhaba, who is also the company’s CEO.

On whether pricing will be the company’s USP, Chhaba said, “We want to be known for providing value and experience to the customers at an accessible price point.”

On the timeline for bringing in the below-Rs 10 lakh electric car, Chhaba said, “We will take a final decision only after watching the policy clarity in the space.”

MG’s plans with EVs

In electric vehicles, MG Motors is seen having a price advantage as the parent company, SAIC, has a joint venture with the world’s leading battery manufacturing facility in Changzhou. In the JV—SAIC Motor Power Battery Co—CATL holds 51 per cent stake and SAIC 49 per cent.

The company had earlier announced plans of rolling out four products over the next two years. In July 2017 MG acquired GM’s plant in Halol, where it has set up a manufacturing unit and supplier park.

MG Motors wants to operate largely in a niche space where digital features will take centre stage. On Monday, the company showcased India’s first internet car technology, iSMART Next Gen. This technology will make its debut in the upcoming MG Hector.

The company has developed this technology in partnership with global technology players including Microsoft, Adobe, Unlimit, SAP, Cisco, Gaana, TomTom and Nuance, MG Motor said in a release.

Source – ETAuto