JSW MG Motor, a car company formed by JSW Group and SAIC Motor, plans to launch new cars regularly, including electric and plug-in hybrid vehicles (PHEVs), starting September 2024. Their goal is to become the top maker of electric and hybrid cars in India by 2030.
Their first PHEV is coming in 2025, will be designed for everyday drivers. PHEVs use a battery to power an electric motor and a gasoline or diesel fuel to power an internal combustion engine (ICE). They run on electric power till the battery is nearly depleted, and then the vehicle automatically switches over to use the ICE.
A PHEV comes with a larger battery pack, than a typical hybrid electric vehicle (HEV). JSW MG Motor believe hybrid cars are a good option because India’s charging stations are still being built. Hybrid cars use both electricity and gasoline.
Electric cars currently have a lower tax rate than gasoline cars in India. The company hopes the government will lower taxes on hybrids as well. JSW MG Motor India is new, but they plan to ask the government for this tax break. They believe hybrids should qualify for the lower tax rate if their battery can power the car for at least 150 kilometers.
In the newly-formed entity, JSW will have a 35% ownership. This will be followed by Indian Financial Institution (IFI) holding another 8%, MG dealers in India taking up 3% and MG employees 5%.
Reference- JSW Newsroom, Economic Times, Moneycontrol, Business Standard, Indian Express