According to a recent report by the Financial Times, cited by the Global Times, Indian steel magnate Sajjan Jindal has revealed that his conglomerate, JSW Group, plans to launch its own electric vehicle (EV) brand. However, due to limited R&D funding, the company will have to depend on Chinese technology for key manufacturing capabilities.
Jindal said that JSW has been in talks with several Chinese automakers to introduce Chinese technologies in preparation for launching its first EVs by June next year. Praising China’s technological prowess, he remarked, “Even Europe is importing Chinese technology. Compared with European automakers, China is already far ahead — we have no other choice.”
Indian Prime Minister Narendra Modi has been championing domestic manufacturing, particularly in sectors such as electric vehicles and smartphones, offering tax breaks and consumer subsidies to support local industry. Yet, Jindal believes the country’s low investment in research and development is the root problem. India’s R&D spending accounts for only 0.66% of GDP, far below China’s 2.4% and the United States’ 3.5%. “The government wants to promote industrial growth, but the budget is extremely limited,” Jindal said, adding that many Indian firms prioritize expanding production capacity over technological innovation.
JSW Group itself reflects this challenge. Traditionally focused on ports, energy, and defense — and operating India’s largest steel company — JSW only entered the EV sector in 2023.
Battery production remains India’s biggest bottleneck in EV development. Currently, most batteries are imported from China, Japan, and South Korea. According to S&P Global Mobility, by 2030, domestic production will meet only 13% of India’s total battery demand.
Jindal concluded that while JSW’s ultimate goal is to achieve indigenous design, manufacturing, and technology development, in the near term, collaboration with China is essential to overcome technical barriers.