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Tata Group to set up first gigafactory outside India in UK; to invest 4 billion pounds
Tata said that the company will invest 4 billion pounds ($5.2 billion) in the plant, which is one of the largest investments ever made in UK automotive sector.
The Tata Group, India's largest conglomerate, will be setting up a new electric vehicle battery plant in Britain, the company announced on Wednesday. Tata's first gigafactory outside India will be a major boost for the car industry which is in need of domestic battery production and will help in future in the long term.
Tata Sons chairman N Chandrasekaran said, “Today, I am delighted to announce the Tata Group will be setting up one of Europe’s largest battery cell manufacturing facilities in the UK. Our multi-billion-pound investment will bring state-of-the-art technology to the country, helping to power the automotive sector’s transition to electric mobility, anchored by our own business, JLR. With this strategic investment, the Tata Group further strengthens its commitment to the UK, alongside our many companies operating here across technology, consumer, hospitality, steel, chemicals, and automotive.”
As per a statement by the British government, the factory will be offering almost half of the battery production required by 2030, which will be “turbocharging UK’s switch to zero emissions vehicles”.
The factory
Announcing the news, Tata said that the company will invest 4 billion pounds ($5.2 billion) in the plant, which is one of the largest investments ever made in the UK automotive sector.
The statement said, “The gigafactory will secure UK-produced batteries for another Tata Sons investment, Jaguar Land Rover, as well as other manufacturers in the UK and Europe.”
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At 40GWh, this will be one of the largest factories in Europe. Other than, 4,000 skilled jobs that it is set to generate, the factory is expected to create thousands of jobs in supply chain for battery materials and raw minerals, helping the UK economy to grow.
Rishi Sunak on Tata's investment
United Kingdom Prime Minister Rishi Sunak said in a statement on Wednesday, “Tata Group's multi-billion-pound investment in a new battery factory in the UK is testament to the strength of our car manufacturing industry and its skilled workers.”
Stating that he was proud that Tata chose Britain as ‘home’ to set up its first gigafactory outside India, Sunak said that UK would now be one of the most attractive places to build electric vehicles.
He added, “With the global transition to zero emission vehicles well underway, this will help grow our economy by driving forward our lead in battery technology whilst creating as many as 4,000 jobs, and thousands more in the supply chain.”
As reported by Reuters, the British government did not offer any details as to how it will be supporting the company as a part of the deal.
