Yamaha cautious on EV-push as battery cells remain heavily import-dependent

Yamaha Motor India is adopting a cautious approach towards aggressive expansion in the domestic electric two-wheeler market, citing heavy dependency on imported battery cells, compressed profit margins, and supply chain constraints, Hajime Aota, Executive Officer, Yamaha Motor Co Ltd said on Thursday.

Speaking to reporters on the sidelines of global launch of 'Made in India' YZF-R2 here, Aota, who is also CMD of Yamaha Motor India Group, said the absence of a fully localised supply chain for lithium-ion cells remains a primary hurdle for global manufacturers entering the mainstream EV segment.

"Still, the cells and raw materials are coming from outside India.

Until domestic cell manufacturing and an integrated supply chain are established, cost optimisation and supply reliability will remain major challenges," Aota said.

He pointed out that the battery requirements of electric two-wheelers are roughly one-tenth the capacity of passenger cars, making it difficult to justify dedicate