Ather 450X manufacturing relocating to Hosur in December

Indian electric two-wheeler startup Ather Energy will relocate its manufacturing base from its current facility in Bengaluru to Hosur in Tamil Nadu this December, the company has confirmed to ElectricVehicleWeb.

As Ather Energy says, setting up the new manufacturing facility will help ramp up production capacity, and speed up the expansion plan. Ather is currently selling its 450 electric scooters in Bengaluru and Chennai, while the Ather 450X scooter will be available in 11 cities by the Q1 of 2021, as we have already reported. These cities include Hyderabad, Mumbai, Delhi, Bengaluru, Kochi, Coimbatore, Pune, Ahmedabad and Nagpur.

The company is ready to launch a special edition of the Ather 450X, dubbed the Ather 450X Collector’s Edition featuring red & black body panels this Friday to recognize early adopters. EVW will share product photos and details on Saturday right after the Ather community is shown the vehicle. Deliveries of the Ather 450X commence in November.

The Ather Hosur plant will be fully set up in the coming weeks, with production at this facility scheduled to start in December. As Ather hopes, the production at this factory, which is spread over 400,000 sq.ft, will touch 100,000 units per year. Besides making the electric scooters, Ather Energy will also produce batteries, with imported Lithium Ion cells at the site. The same plant would be utilized to manufacture Ather’s electric motorcycle, though this is still a few years out. The current focus for Ather is to improve retail presence and drive awareness of switching to electric vehicles. The company is not considering exports of the Ather 450X for the moment.

Ather 450X headlamp glow
The Ather 450X is the company’s big launch this year as Ather Energy looks to establish a pan-India presence.

Relocating the manufacturing to Hosur will help Ather Energy receive the many benefits of the Tamil Nadu EV policy, which allows 100% exemptions on electricity tax to the EV related industries in the state, till 31st December 2025, alongside stamp duty exemption for the purchase of land to set up factories.

Ather is also expanding the Ather Grid, its charging network. Currently, the company has 39 charging points in Bengaluru and 14 in Chennai. It plans to increase the charging station network to up to 6,500 by 2023, across 30 cities in India, with an aim to have one station every 4 km in the cities that it operates. By early 2021, it plans to raise it to 100 charging plugs.

Ather has so far raised around Rs 800 crore in multiple rounds including from Hero Motocorp which owns a substantial part of the company.