Fortune Minerals : Cobalt News

CNN - August 23, 2023

At a startup factory in Hosur, a southern Indian city not far from Bangalore, the assembly line is buzzing with lightning-fast activity.

At a startup factory in Hosur, a southern Indian city not far from Bangalore, the assembly line is buzzing with lightning-fast activity…Here, workers in black uniforms churn out a brand-new electric scooter every 90 seconds, while executives review the company's skyrocketing sales…Three years ago, the company sold about 200 units a month, he said. Now, it easily clears about 15,000 units monthly…This is what India looks like as it electrifies its vast personal vehicle market, which is projected to become a $100 billion industry by 2030. In the world's most populous country, two and three-wheelers are the main focus, outnumbering other means of transport, such as cars, by about four times…Walking down a street in New Delhi or Bangalore is proof enough. Electric mopeds that sell for as little as $1,000 now zip along many congested roads. They're touted by environmentalists and the government as a way to clear some of the toxic smog that often chokes metropolises across the country…Like many countries, India is racing to go green, with a goal of having electric vehicles (EVs) account for a third of all private car sales and 80% of two- and three-wheeler sales by the end of the decade…Last year, almost 7% of all two-wheeled vehicles sold were electric vehicles - rising from an "almost negligible number of units three years ago" to 1 million, he noted…The push has been fueled by strong state support, particularly through a policy known as "FAME," or the Faster Adoption and Manufacturing of Electric Vehicles…The program, which started in 2019, is pouring more than 100 billion rupees (about $1.2 billion) into subsidizing EVs for consumers and setting up thousands of EV charging stations across the country…Ather, which sees the transition as nothing short of a "revolution," is one of dozens of startups benefiting. It joins at least 55 other EV manufacturers that have sprung up to meet demand, according to government data…India, however, is just getting started. Despite hitting a milestone, the 1 million units sold last year is a mere drop in the bucket compared to "India's total two- and three-wheeler fleet stock of 250 million - leaving immense room for sustained growth," according to the World Economic Forum (WEF)…Because public transport is relatively underdeveloped, these types of vehicles - scooters, motorcycles and rickshaws - are hugely important, accounting for a staggering 80% of all vehicle sales…The trend gives the country a leg up as it shifts to EVs, because such vehicles are typically used more for daily short commutes versus long-distance drives, according to experts…Makers of two-wheelers argue that with the relatively high cost of fuel in India, it takes less than a year for the owner to start seeing savings from the purchase an electric scooter or motorcycle, compared to the cost of operating a vehicle with a combustion engine.