JSW MG Plans $441 Million Expansion to Triple India Capacity

Article content(Bloomberg) — JSW MG Motor India Pvt., the Indian venture of China’s SAIC Motor Corp., plans to invest as much as 40 billion rupees ($441 million) as it races to stake out a dominant position in the country’s fast-growing new-energy vehicle market.Sign In or Create an AccountEmail AddressContinueor View more offersArticle contentThe investment to expand capacity at its India plant to 300,000 units will be spread over the next couple of years, and deepen the carmaker’s focus on electric and plug-in hybrid vehicles, Managing Director Anurag Mehrotra said in an interview.Article contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Article contentArticle contentThe outlay is among the most significant capital expansion since billionaire Sajjan Jindal’s JSW Group joined forces with SAIC in 2024, signaling the joint venture’s ambition to become a leading NEV manufacturer in India. The expansion will include upgrades to the paint and body shops and support a pipeline of new models beginning in 2027, he said.Article contentTop StoriesGet the latest headlines, breaking news and columns.There was an error, please provide a valid email address.Sign UpBy signing up you consent to receive the above newsletter from Postmedia Network Inc.Thanks for signing up!A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Article contentNew-energy vehicles — spanning battery electrics, plug-in hybrids and, in some definitions, fuel-cell vehicles — are central to that strategy. Of the three to four new launches planned for 2026, one will be a full EV and another a plug-in hybrid built on flexible platforms capable of supporting multiple powertrains, Mehrotra said.Article contentThe investment follows a breakout year for JSW MG. Its Halol plant in the western state of Gujarat, with a capacity of 110,000 units, is running near full utilization after retail sales jumped about 35% and revenue rose 27% in calendar year 2025, far outpacing industry growth of 5% to 6%.Article contentAlthough Tata Motors Passenger Vehicles Ltd. is the overall leader, JSW MG’s share of India’s EV market has climbed from less than 10% two years ago to about 30% in 2025. That was driven largely by the success of its electric multi-purpose vehicle Windsor, according to Mehrotra.Article contentArticle content‘Cash Positive’Article contentThe carmaker plans to fund the initial phase of the expansion through internal accruals, “because we are cash positive,” he said, adding that existing approvals are sufficient for this year’s spending.Article contentEven so, the company is evaluating broader financing options as investment ramps up. “All options are on the table,” he said, referring to potential external fund raising, while noting that the JV partners remain in close discussions as they chart the next phase of growth.Article contentAlongside the capacity increase, the automaker is accelerating localization to curb foreign exchange exposure and improve margins.Article contentThe spending marks a decisive shift after JSW acquired a majority stake in the business in 2024. Rather than compete head-on in the internal combustion engine segment, the company has chosen to concentrate on NEVs.Article content“The center of gravity will be on new energy vehicles — 75% to 80% of our business”, Mehrotra said.Article contentTrending Carney Plots 'Buy Canada' Defense Strategy to Unlock Billions in Investment PMN Business Stellantis Canada CEO says sale of Ontario battery plant was due to poor EV demand Commodities Subscriber only. Donald Trump plans to roll back tariffs on steel and aluminium goods Subscriber only Financial Times 'Escape hatches are gone': Power of sale listings surge in Toronto Real Estate Subscriber only. These are the TFSA and RRSP tricks that can make you a fortune Subscriber only Personal Finance Share this article in your social networkCommentsYou must be logged in to join the discussion or read more comments.Create an AccountSign in Join the Conversation Postmedia is committed to maintaining a lively but civil forum for discussion. 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