Tata Motors partners with Octillion Power Systems for EV battery boost

Tata Motors Ltd is expanding its battery sourcing for electric vehicles (EVs) by partnering with Octillion Power Systems India Private Limited, an Indian subsidiary of the US-based Octillion Power Systems, Inc, reported LiveMint, citing sources. This marks a shift from Tata Motors’ previous strategy of sourcing battery packs exclusively from its group company, Tata AutoComp Systems Ltd.

The company’s latest Curvv coupe SUV will feature lithium-ion battery packs from Octillion, which is headquartered in California and operates in the United States and India. This partnership marks the first time Tata Motors has engaged an external battery supplier since launching its Nexon EV in 2020.

 

This decision comes in response to challenges in the EV market and aims to address performance issues, such as battery charge drops in earlier models. By incorporating new battery pack designs and different cell types, Tata Motors seeks to improve the reliability of its EVs. The partnership with Octillion also allows the company to expand its supply chain and enhance its technological capabilities as it introduces new EV models.

Octillion established a 2GWh battery pack production facility in Pune, India, just last year. For the 45kWh variant of the Curvv EV, Tata Motors has chosen Octillion’s battery packs, which include 15.2Ah cylindrical cells provided by EVE, another Chinese company.

The larger 55kWh variant of the Curvv EV will continue to use battery packs from Tata AutoComp, which include 105Ah prismatic cells from Gotion, a Chinese lithium-ion cell provider. Until now, Tata Motors’ passenger EV battery packs were exclusively made by Tata AutoComp Systems using cells from Gotion through a joint venture.

Battery technology choices

The choice between cylindrical and prismatic cells depends on the battery pack's specific requirements, such as energy density, thermal management, and packaging flexibility.

A Tata Motors spokesperson explained to LiveMint that the company is adopting a multi-sourcing strategy to reduce supply chain risks and dependency on a single supplier, ensuring a reliable and timely supply of parts. The spokesperson also noted the rapid growth in EV sales, with industry volumes increasing from about 6,000 units in FY21 to approximately 100,000 units in FY24.

Currently, Tata Motors offers four passenger EV models—the Nexon, Tiago, Punch, and now the Curvv. The Tigor EV is available in the fleet segment as the Xpres-T. Although Tata Motors has been using Octillion’s battery packs for its Starbus EV for over two years, this is the first time these packs are being used in a passenger EV.

 

Curvv EV architecture

Tata Motors began delivering the Curvv EV last week, with a waiting period of six to eight weeks. The Curvv is built on Tata’s pure EV platform, acti.ev (Advanced Connected Tech-Intelligent Electric Vehicle), and offers a range of up to 585 km on a single charge with its 55kWh variant. Both variants of the Curvv EV use newly designed battery packs and are built on a new modular platform.

This strategic move by Tata Motors comes amid industry-wide challenges in the EV market, including a decline in sales and increased competition. Tata Motors is pricing its EVs competitively to attract more buyers and is also dealing with challenges such as the withdrawal of government subsidies for electric vehicles sold to commercial fleets and lower demand for electric passenger vehicles.

In the first quarter of FY25 (April-June), Tata Motors reported a 14 per cent year-on-year decline in EV sales, with 16,579 units sold.

[This copy has been updated]