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Chinese automakers may be shut out of India, but their electric vehicle (EV) technology is starting to make inroads in the world’s third-largest car market.
New Delhi has largely blocked Chinese companies from entering the market since 2020 and now Beijing is clamping down on the export of its tech know-how. Yet ties between the two countries’ carmaking industry are only growing.
Tata Motors said earlier in June it will use Chery’s carmaking platform to manufacture premium EVs in India. The deal doesn’t involve an equity stake, and both companies stressed it is a supply arrangement without any transfer of technology know-how to Tata, highlighting the political sensitivities.
India ramped up scrutiny of Chinese businesses after a 2020 border clash between the two countries killed soldiers on both sides. While New Delhi and Beijing are working to improve ties, some friction remains.
