Wednesday 9 September 2009

Tata to Build Electric Car Assembly Facility in Europe

By BERND RADOWITZ
MADRID -- Indian automaker Tata Motors will set up an assembly facility for electric vehicles in the U.K., Spain or Norway, Clive Hickman, the Chief Executive of Tata Motors European Technical Centre said Tuesday.
The facility to be operational by year-end is initially planned for a capacity to assemble 5,000 electric cars.
"We don't need to build a full plant, because the vehicle will come with the body, the wheels, all of the interior trim (from India)," Mr. Hickman said. "All we have to do, is to install the electric motor, and the battery pack."
Hickman spoke to Dow Jones Newswires at the sidelines of the ceremony for the announcement of an electric car pilot project sponsored by the Spanish government. It aims at bringing 2,000 electric cars on Spanish roads by the end of 2010, and to set up 546 electricity charging points for vehicles in Madrid, Barcelona and Seville.
Mr. Hickman didn't say what the planned investment for the electric vehicle facility is. The plant will assemble electric versions of Tata's Indica Vista passenger car, and its ACE light commercial vehicle.
Tata Motors will use lithium ion batteries produced by its Norwegian Miljo unit for the electric vehicle assembly plant, and electric motors from Canadian company TM4.
Write to Bernd Radowitz at bernd.radowitz@dowjones.com