JSW MG Motor India aims to recreate ‘Maruti Movement' ,

to be market leader in NEVs

JSW has taken a 35% stake in MG Motor India. Apart from this, Indian Financial Institut is
taking 8% in the joint venture, the dealers are buying 3%, and 5% is being kept for th
employees. Aiming to sell 1 million NEVs by 2030, JSW MG Motor India wants to be the
leader in the category and take up a 33% share in NEVs by 2030. "Maruti brought in sta the-
art new cars and today they are the 50% market leader. I believe that with MG we create a
new energy vehicle Maruti Movement," Sajjan Jindal, Chairman, JSW Group, said.

Shubhangi Bhatia . ETAuto

The joint venture company has been named 'JSW MG Motor India' and the Chairman of the new entity will be
from the JSW Group.

Mumbai: The Indian steel-to-power conglomerate JSW Group has made a foray into the
automotive industry through a joint venture (JV) with MG Motor India. JSW has taken a 35%
stake in MG. Apart from this, Indian Financial Institution (IFI) is taking 8% in the joint
venture, the dealers are buying 3%, and 5% is being kept for the employees.
The JV company has been named 'JSW MG Motor India' and aims to take on the Indian
passenger vehicle market with its new energy vehicles (NEVs) including electric vehicles
(EVs) and plug-in hybrid electric vehicles (PHEVs). Aiming to sell 1 million NEVs by 2030, it
wants to be the market leader in the category and take up a 33% share in NEVs by 2030.

"With MG, my dream is that we will create a Maruti Movement. Like 40 years ago, in 1984,
when Maruti came into India, it changed the auto industry. It brought in very efficient cars,
very lightweight cars, and the Ambassadors and the Fiats went into oblivion. Maruti
brought in stateof-the-art new cars and today they are the 50% market leader. I believe that
with MG we can create a new energy vehicle Maruti Movement," Sajjan Jindal, Chairman,
JSW Group, said.

MG Motor is an automotive company headquartered in London. Owned by the Shanghai-

based Chinese state-owned automaker SAIC Motor, it entered the Indian market with its
Hector SUV in 2019. Currently, it sells the Astor, Gloster, Hector 5-seater, Hector Plus and
ZS EV SUVs, and the Comet EV in the country.

The JSW development comes amid increased scrutiny by the Indian government on
investments made by China amid heightening geopolitical tensions. In November last year,
SAIC Motor had inked a JV agreement with the JSW Group. With a majority 51% stake in MG
Motor India now owned by Indian entities and 49% by SAIC Motor, the JV is expected to give
a new lease of life to the automaker. Going forward, the company could further dilute
SAIC's equity over the next few years and may even consider an IPO.

The Chairman of the new entity will be from the JSW Group. The board of the company will
be jointly managed by JSW and SAIC. The steering committee will have representatives
from JSW, SAIC, and IFI. In the first phase of development, an investment of about INR
5000 crore is being made by the stakeholders in the new entity for expansion of production
and introduction of new cars.

Expansion Plans

JSW MG Motor India is set to launch two products in the market this year, including a ICE
vehicle and a NEV. It will introduce its first PHEV in the mass market category next year.

Starting September this year, the joint entity wants to launch one new model in a span of 3-
6 months. "We will have models in the premium and the mainstream category. India is
premiumising and there is more disposable income. MG also has a slew of products
available globally, and we want to bring them also into the country. A combination of the
two will allow us to launch a new product every 3-6 months into the Indian market," Parth
Jindal, Member of the Steering Committee of JSW MG Motor India said.
Rajeev Chaba, Chairman Emeritus, MG Motor India said the automaker will have a second
plant in Gujarat near its existing unit at Halol. This will take its annual production capacity
from over 1 lakh units to over 3 lakh.

In a separate development, in January this year, JSW received approval from the Odisha
government to set up EV and component

"The JSW MG Motor entity will not be investing in Odisha as of now. This investment is going
to be made by the JSW Group on a standalone basis. It will include battery manufacturing
and cell-to-pack manufacturing for JSW MG products. This will help to localise and bring
down the cost of the products to bring them at the right price point, if not lower, at least at
the same price as gasoline vehicles," said Parth Jindal said.

"We are considering commercial vehicles as well at the Odisha plant. We will decide under
which brand we want to launch the products whenever those plans will fructify," he added.