Lithium-ion batteries first came into the scene commercially in the 1990s and are now becoming the prominent source of eco-friendly drive by becoming a power source for many new-age mobile phones, electric cars, inverted batteries, battery bikes for kids, lithium-powered batteries, and drones.
According to Bloomberg, the demand for lithium-ion batteries is expected to grow 17-fold by 2030.
The main component of electrical vehicles is its lithium-ion battery as it is the driving force of an electric vehicle. The durability of an EV largely depends on its battery which eventually decides the success of the vehicle.
EVs are gaining momentum in India, at present, because India is shifting from fossil fuels to more environment-friendly and electricity-driven sources of energy.
India imports the majority of EV batteries, semiconductors, and Battery Management Systems (BMS) from China, Japan, and Korea but there is a significant push among Indian manufacturers to produce India-specific batteries.
Moreover, recently India hit a jackpot after it discovered 60 lakh tonnes of lithium in Jammu which has bolstered India’s lithium requirement, making it self-reliant.
That is why, according to many analysts, lithium-ion battery manufacturers' stocks in India are the best share market tips for investors to invest in the share market. Some of the leading electric vehicle battery stocks in India that could benefit from the electronic vehicle shift are:
Exide Industries: It is one of the biggest players in all types of storage batteries, especially in the automotive industry. It is one of the best electric vehicle battery stocks in India which has made significant progress in the Lithium-ion batteries business and has started the manufacturing of lithium-ion batteries in India.
Uno Minda Ltd: It is a technology leader in the automotive components sector. The company has two divisions dedicated to cementing its presence in the EV industry: Electronic Manufacturing Excellence (EME) and Spark Minda Green Mobility Company. The company aims to carve a niche for themselves in the EV charging solutions space.
Amara Raja Batteries Ltd: It offers lithium-ion cells, battery packs, and charging solutions for light electric vehicles and the telecom industry. It is one of the first companies to invest in lithium-ion technologies in India.
Tata Power: It deals in the generation, transmission, and distribution of electricity. The company is dedicated to producing electricity through renewable means and aims to build one lakh EV charging stations across India by 2025.
Kabra Extrusion Technic Limited: It initially started as a public extrusion company but now it has also expanded into Lithium-ion batteries. It started its new business of commercial production of Lithium-ion batteries in 2020 under the brand name Battrixx. It has strategically partnered with leading European player and has benefited from their patented design and manufacturing expertise.
EV is one of the front runners in the new sources of energy that are surfacing with the depletion of fossil fuel and other natural resources.
Lithium-ion batteries are the driving force of this technological shift. Hence, the companies that deal in the manufacturing and development of these batteries are in for a good time.
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