With an aim to make India a manufacturing hub for electric vehicles, Ola, on Monday signed an MoU with the Tamil Nadu government for an investment of ₹2,400 crore in setting up its first factory in the State.
Upon completion, the factory will create almost 10,000 jobs and will be the world’s largest scooter manufacturing facility, which will initially have an annual capacity of 2 million units.
In line with Prime Minister Narendra Modi’s vision, Ola’s factory is an important step towards Atmanirbhar Bharat, the company said. It will catalyse reduction of India’s import dependence in a key future sector such as electric vehicles (EVs), boost local manufacturing, create jobs as well as improve the technical expertise in the country, it said.
The factory will also galvanise India’s EV ecosystem and establish India as a key player in the EV manufacturing space. Ola believes that India, with its unique skill sets, manpower and demography, is well-placed to be a global hub for the cutting-edge manufacturing of EVs.
Ola’s factory will cater to customers not only in India but also in markets around the world including Europe, Asia and Latin America. The company is gearing up to launch the first of its range of electric scooters in the coming months.
“We are excited to announce our plans to set up the world’s largest scooter factory. This is a significant milestone for Ola and a proud moment for our country as we rapidly progress towards realising our vision of moving the world to sustainable mobility solutions across shared and owned mobility” said Bhavish Aggarwal, Chairman and Group CEO, Ola, in a statement.
The factory will produce Ola’s upcoming range of two-wheeler products starting with Ola’s electric scooter which has won the Marketing Innovation award at CES and the German Design Award.
It features many firsts including a unique removable banana battery that is easy to carry and can be charged anywhere as well as intelligent software.
Earlier this year Ola announced plans to hire over 2,000 people for its electric business as it rapidly builds a suite of electric and smart urban mobility solutions. Recently, the company also roped in General Motors veteran Jose Pinheiro to head its global manufacturing and operations.