India's Tata conglomerate will set up what would be Europe's biggest gigafactory in Britain to manufacture electric batteries for Jaguar Land Rover-branded cars. Production at the new facility, which will be set up at a cost of more than $5 billion, is slated to start in 2026.
4,000 Jobs in the UK
The 40GWh gigafactory will be set up in Somerset, south-west England, and is the only Tata Group gigafactory outside India. The plant will create at least 4,000 skilled jobs in the UK. British Prime Minister Rishi Sunak said it was a proud moment for the country. "Tata Group's multi-billion-pound investment in a new battery factory in the UK is testament to the strength of our car manufacturing industry," Sunak said.
"Tata Group's multibillion-pound investment in a new battery factory in the UK is testament to the strength of our car manufacturing industry and its skilled workers ... With the global transition to zero emission vehicles well underway, this will help grow our economy by driving forward our lead in battery technology whilst creating as many as 4,000 jobs, and thousands more in the supply chain," Sunak said.
Commitment to the UK
Tata Group said the new gigafactory will make electric batteries for models like the Range Rover, Defender, Discovery and Jaguar. The Indian conglomerate might also consider supplying electric batteries for other car manufacturers in the future.
Tata Sons Chairman N Chandrasekaran said he was "delighted" with the move and that the launch of the gigafactory strengthens the group's commitment to the UK. He noted that the Tata Group has businesses in the UK sectors like technology, consumer, hospitality, steel, chemicals, and automotive.
The launch of a huge electric battery plant will assist the UK government's ambitious plans to stop the sale of new petrol and diesel cars from 2030.
"We're in competition with countries all over the world for these big investments," UK's Finance Minister Jeremy Hunt said, according to Reuters. However, Hunt did not reveal if the UK government was offering any subsidies to the Tata Group. Worldwide, several governments have been supporting investment in EV technologies.
