JSW to Launch Independent EV Brand by 2027 Using Technology from China’s Chery: Report

JSW Group is known to be in the advanced stages of launching its own independent vehicle brand, which will operate alongside JSW MG Motor India Pvt Ltd, its joint venture with China’s SAIC group. Now, a new report from Bloomberg has revealed some interesting details of how the company plans to develop its products while respecting current government restrictions on Chinese companies who want to establish a presence in India. As per the report, JSW Group will launch this new brand by 2027, and it has licensed EV technology from Chery Automobile Group, the fourth-largest carmaker in China.

The new, as-yet-unnamed brand will focus on new-energy vehicles, according to Bloomberg’s unnamed sources. However, rather than entering India directly like BYD or through a joint venture like SAIC did with its MG Motor subsidiary, Chery will only supply technology. It will not own any stake in the new entity. JSW Group will purportedly pay a one-time technology transfer fee, along with royalties. 

The two companies have refuted the report’s claims, stating that Chery will only supply unspecified components for its upcoming new vehicles. JSW was recently reported to have been in talks with multiple Chinese automotive manufacturers including Geely and BYD about similar technology transfer or licensing opportunities. 

JSW signed a Memorandum of Understanding with the Government of Maharashtra in January this year, committing to invest ₹3 lakh crore across multiple sectors, including EV manufacturing. The company also recently stated that it intends to increase its share of the JSW MG Motor joint venture significantly, from its current 35 percent stake. These moves come even as tensions between India and China seem to be easing after several years, although India continues to impose restrictions on Chinese investments, and China has cut off supplies of rare earth minerals essential to the manufacturing sector.

The Indian conglomerate, which has interests in steel, infrastructure, paints, and real estate, also indicated its interest in signing a joint venture with China's Haier Group last year to manufacture home appliances and white goods in India.