The Tata Group has announced a $5 billion investment in a 40 gigawatt (GW) battery gigafactory in the UK to provide electric vehicles and renewable energy storage solutions. Key customers of the Indian conglomerate will be its luxury car unit Jaguar Land Rover (JLR) and Tata Motors. Supply to both companies will begin in 2026.
This huge investment has given a huge boost to the UK automotive industry, particularly domestic battery production. The announcement also puts Tata in the forefront as far as Europe’s largest battery producer is concerned. It also marks the UK’s biggest move into an automotive gigafactory, helping it survive a dominance of the green electric car business in the US and Europe.
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Commenting on this landmark investment, N Chandrasekaran, Chairman, Sons of Tata, said: “The Tata Group is firmly committed to a sustainable future across all our businesses. Commitment from the many companies operating in the fields, hospitality, steel, chemicals and automotive. I would also like to thank His Majesty the King’s Government for working closely with us to make this investment possible.”
Commenting on the news of Gigafactory UK, UK Prime Minister Rishi Sunak said: “Tata Group’s decision to build a new Gigafactory in the UK, their first factory outside India, is a huge vote of confidence in the UK.
Tata’s 40 GW battery gigafactory will produce high-quality batteries for various applications in the mobility and energy sectors. The new factory is also expected to create around 4,000 jobs in the UK. The new plant will be built in Somerset, southwest England, close to Jaguar Land Rover’s plant in Birmingham, central England.
The move would be in line with the UK’s net zero target, as the country plans to ban the sale of new petrol and diesel cars from 2030. In the post-Brexit era, more automakers will look to source auto parts locally to avoid tariffs on European imports from 2024. The new batteries produced by Tata will continue to power Jaguar Land Rover’s future electric lineup, including electric versions of the Range Rover, Defender, Discovery and Jaguar brands.
First published date: Jul 20, 2023 at 14:08 PM UT