Parth Jindal unveiled the new brand identity for JSW MG Motor India, following JSW Group’s acquisition of 35% stake in MG Motor India from SAIC.
“We want to launch 1 electric vehicle every 3-4 companies in the next months. The idea is to create a Maruti moment,” said Sajjan Jindal, Chairman, JSW Group.
In the 90s, Maruti brought in new cars and now they have 50% market share. With MG, JSW can create New Energy Vehicle Maruti moment, Jindal said.
MG aims to capture 33% of the market of the New Energy vehicle segment by 2030, intending to sell one million passenger EVs in the year 2030 apart from all the other products that the company sells, said Parth Jindal, Managing Director of JSW Cement.
India will move from selling four million cars to 10 million cars over the next 10 years, Parth Jindal said.MG Motor, a British brand owned by Shanghai-headquartered SAIC Motor in 2023 entered into a joint venture with the JSW Group. As part of the arrangement, Jindal’s JSW Group will hold 35 per cent of the company’s India operations. As per the agreement, SAIC will continue supporting the joint venture with advanced technology and products to deliver mobility solutions with a focus on the Indian consumer.MG Motor is looking at this tie-up with JSW Group to drive the company’s next phase of growth.
It entered the Indian market in 2019, and has sold around 2 lakh units since then. It has also invested close to Rs 7,000 crore so far.
MG Motor in 2023 sold around 60,000 units, up nearly 25 per cent from the 48,000 units sold in 2022. On an annual basis, MG Motor India has registered growth for four consecutive years.
As part of its growth plan, MG Motor India plans to establish a second manufacturing facility in Gujarat, in addition to its Halol unit. The new unit is intended to more than double the company’s installed capacity to a total of 3 lakh units, from the current 1.2 lakh units.
MG Motor’s India EV ambitions
EVs form a significant chunk of the automobile company’s overall sales, at around 33 per cent as of February 2024.
“Electric vehicles are a focus area for expanding operations in India. We are going to launch at least one new vehicle this year, and it will be an electric,” Rajeev Chaba, chairman emeritus, MG Motor India, told ET at the Bharat Mobility Show in February 2024.
MG Motor India intends to introduce 4-5 new vehicle models, mostly electric variants and aims to derive 65-75% of its sales from EVs by 2028.
While inking the agreement, Jindal had said that they wanted to pursue development of the EV ecosystem in India and to take a leadership position in the space eventually. Tata Motors currently dominates passenger EV sales in India, with MG Motor’s overall market share in the EV space being close to 2 per cent.
Demand for EVs in India has steadily picked up in recent years, partly also because of government push via subsidies. The Centre expects India’s EV market to grow to one crore units in annual sales by 2030, as per the Economic Survey 2022-23.
EVs formed around 2 per cent of overall car sales in India in 2023. The government is targeting to take this up to 30 per cent by 2030.
