Sigenergy plans up to $200mn India manufacturing push

Chennai: Sigenergy, the Shanghai-based energy storage systems and solar solutions maker, is planning to invest $150mn-$200mn to establish a large-scale manufacturing facility in India, as it seeks to tap into the country's rapidly expanding renewable energy and battery storage market.The company, which commenced its Indian operations a few months ago, is evaluating suitable locations, state-level incentives and policy support across several states, including Maharashtra, where its India arm is headquartered, as well as Gujarat, Andhra Pradesh, Odisha and Tamil Nadu.It is likely to scout for 30–50 acres as it aims to build a 10–20 GW capacity unit to manufacture batteries and inverters for both domestic use and exports."We are in discussions with several state governments and will go where we see the strongest ecosystem support," Abhilash Borana, CEO of Sigenergy India, told TOI.While initial operations may rely on imported cells, the company is open to localising the entire value chain, including cell manufacturing, if policy support aligns. "The idea is to build the complete ecosystem here over time," he added. Any manufacturing investment by a Chinese company in India requires prior central government approval under FDI rules. The company positions itself as a "deep-tech" player, with nearly 40% of its workforce focused on R&D. It is betting heavily on AI-driven energy management systems, which optimise power usage across solar, battery and grid sources in real time. "Solar is no longer just about hardware. The real differentiation now lies in software and intelligence," Borana said. "Our solutions are fully AI-driven, enabling dynamic energy optimisation—from utility-scale projects down to individual households." He noted that while batteries in the Indian market typically offer 3,500–6,000 cycles, Sigenergy's benchmark is 10,000 cycles, and the company would not go below that standard. In India, it plans to focus initially on utility-scale projects before expanding into commercial, industrial and residential segments through a focused distribution network. Founded in 2022 by Tony Xu, a former Huawei veteran, Sigenergy has expanded rapidly, leveraging a team drawn largely from Huawei's renewables business. It recently went public on the Hong Kong Exchange, with its IPO drawing strong investor interest and raising $562 million. The company operates across markets including Europe, the US and Australia.
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