Introduction: A partnership steering towards innovation
In an era of rapid advancements in the automotive industry, Hyundai Motor India Limited (HMIL) has joined forces with Amara Raja Energy & Mobility Limited (ARE&M) to introduce Made-in-India Absorbent Glass Mat (AGM) battery technology. Set to roll out in Q4 of FY 2024-25, this collaboration positions Hyundai as the first Indian automotive OEM to adopt locally manufactured AGM batteries.
This partnership not only enhances Hyundai’s innovation-led strategy but also aligns with India’s focus on localisation, sustainability, and self-reliance under the ‘Atmanirbhar Bharat’ initiative.
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What are AGM batteries, and why do they matter?
Cutting-edge technology
AGM batteries are a modern alternative to conventional Complete Maintenance Free (CMF) batteries, with 150% improved durability. Designed for Starting, Lighting, and Ignition (SLI) purposes, these batteries charge faster, last longer, and are particularly suited for vehicles equipped with Idle Stop and Go (ISG) systems.
Key features of AGM batteries
| Feature | Benefit |
| Enhanced durability | Outlasts CMF batteries by 150% in real-world tests. |
| Quick charging | Saves time with faster recharge cycles. |
| Eco-compliance | Meets India’s BS-6 Phase-2 Real Driving Emissions (RDE) norms. |
| Low maintenance | Requires minimal upkeep, ideal for Indian driving conditions. |
| Economic impact | Reduces dependency on imports and lowers costs. |
The AGM batteries have undergone extensive testing at Hyundai’s global R&D centre in South Korea, ensuring they meet the demands of India’s challenging road and weather conditions.
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Localisation: Driving self-reliance and sustainability
Hyundai’s localisation strategy is a cornerstone of this initiative. By sourcing over 1,200 components from 194 local vendors, the company reduces costs and supports job creation, all while minimising its carbon footprint.
Speaking on the collaboration, Gopalakrishnan Chathapuram Sivaramakrishnan, Whole-time Director and Chief Manufacturing Officer at HMIL, stated:
“Working with Amara Raja to bring this world-class technology to Indian customers underscores our commitment to the ‘Atmanirbhar Bharat’ initiative and our focus on innovation.”
This localisation push strengthens India’s automotive ecosystem, enabling the development of eco-friendly and cost-efficient vehicles tailored to local needs.
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How Amara Raja fits into the picture
Amara Raja Energy & Mobility Limited, known for its renowned AMARON brand, plays a critical role in manufacturing AGM batteries. With a proven track record of delivering energy solutions, Amara Raja ensures that these batteries meet stringent emission norms and outperform existing alternatives.
Harshavardhana Gourineni, Executive Director at ARE&M, remarked:
“This partnership reflects our mission to deliver cutting-edge energy solutions and support Hyundai’s vision for redefining future mobility.”
The announcement of this partnership led to a 4.4% rise in Amara Raja’s share price, reaching an intraday high of ₹1,273.75 on the BSE.
Market impact
Hyundai Motor India
Hyundai’s stock, trading at ₹1,775.00 on December 20, reflects investor confidence despite minor fluctuations. The company’s localisation-driven approach aligns with long-term market trends, ensuring steady growth.
Amara Raja Batteries
Amara Raja’s shares rallied by 4.5%, showcasing the market’s positive reception of its innovative AGM battery technology. The localisation and sustainability aspects of this initiative add to its appeal.
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Why this partnership matters for India
This collaboration between Hyundai and Amara Raja represents a significant shift in India’s automotive industry. It paves the way for:
- Sustainability: Reduced dependency on imports and a smaller carbon footprint.
- Economic growth: Job creation through local manufacturing.
- Technological innovation: Meeting global standards while catering to Indian conditions.
Hyundai’s localisation focus, paired with Amara Raja’s expertise in energy solutions, sets a benchmark for other OEMs in India to follow.
Conclusion: A step towards a greener future
The partnership between Hyundai Motor India and Amara Raja marks a new chapter in the country’s journey towards sustainable and innovative automotive solutions. By introducing AGM battery technology in FY 2024-25, Hyundai reinforces its commitment to delivering environmentally conscious, efficient, and locally manufactured vehicles.
As India’s automotive sector continues to evolve, this collaboration serves as a model for how localisation and innovation can drive both economic and environmental progress. Together, Hyundai and Amara Raja are not just powering cars—they are powering the future of Indian mobility.
