Tata Agratas, the electric-vehicle battery arm of the Tata group, has entered a seven-year supply agreement valued at $530 million with Jaguar Land Rover (JLR), starting this fiscal year. The deal aims to support JLR's growing demand for EV batteries, marking a significant commitment within the Tata group ecosystem, according to livemint.com.
The agreement involves Tata Agratas supplying batteries to JLR over seven years, with the company currently constructing a 20 GWh battery manufacturing plant in Gujarat and a 40 GWh facility in the UK. These facilities are designed to meet the increasing requirements of electric vehicle production, as disclosed in company filings and confirmed by an executive familiar with the deal.
This pact underscores the expanding focus on electric vehicles in India and globally, with Tata Agratas positioning itself as a key supplier within the Tata group. The deal is expected to generate approximately $42 million (₹400 crore) in revenue for Tata Agratas in the fiscal year 2027. It reflects broader trends in the EV sector where automakers are securing long-term battery supply contracts to ensure production stability.
Tata Agratas’s battery plants in Gujarat and the UK are critical to fulfilling this contract, with the company aiming to ramp up production capacity to meet JLR's needs. The $530 million deal represents a strategic milestone for Tata Agratas as it scales operations to support the Tata group’s electric vehicle ambitions.