Hyundai Motor, Kia to partner with Exide Energy on EV batteries

SEOUL, Apr 08 (Reuters): Hyundai Motor Co and Kia Corp on Monday signed a memorandum of understanding with India's Exide Energy Solutions Ltd to supply batteries for their electric vehicles in a bid to boost competitiveness in the world's No.3 auto market.
The South Korean auto duo said in a statement that the partnership with Exide Energy, a unit of Exide Industries Ltd, aims to localise their EV battery production in India, specifically focusing on lithium-iron-phosphate (LFP) cells.
Hyundai and Kia are set to expand in India - one of its their four biggest revenue generating markets along with the United States, South Korea and Western Europe.
Hyundai has said it plans to invest about 3.25 trillion won($2.40 billion) for 10 years from 2023 for the Indian market, including for the launch of six EV models by 2028 and charging stations.
Kia plans to introduce locally optimised small-sized EVs starting 2025, Wednesday's statement said. Exide Energy is aiming to produce EV battery cells at the end of this year.
Automakers such as Tesla and VinFast are looking to tap India to build EV production facilities. Shares of Hyundai Motor and Kia Corp closed 3.1 per cent and 3.3 per cent higher, respectively, versus the benchmark KOSPI's 0.1 per cent rise.