The reasons may be entirely political or geopolitical in nature, the road ahead for Chinese automakers in India looks difficult. 

Chinese automaker BYD and its Indian partner Olectra Greentech (formerly known as Goldstone Infratech) is in news for its proposal to set up a manufacturing plant for electric cars in India. Certain ministry officials involved in vetting the proposal have raised security concerns, claimed an industry source.  

The truth is hard to ascertain. It is also tough to ascertain the news in various media platforms regarding BYD conveying to Olectra that it would like to drop the proposal to invest in India. The proposal to invest is claimed to be worth USD 1 billion. 

Since the clash between the Indian armed forces and Chinese armed forces at Galwan valley in 2020, the Indian Government has tightened scrutiny of Chinese investments in the country.  The ones to get affected by this move have not just been the Chinese automakers but also producers of cell phones and other goods. 

Key players in the Chinese EV market (also the world’s largest) such as BYD, SAIC and Geely have exerted their interest in exploring the Indian automobile market. While MG Motor India is a wholly-owned subsidiary of SAIC Motor, the Indian partners of BYD and Geely – Olectra Greentech and Adishwar Auto Ride respectively – are not legacy automotive players to be precise. 

Against the emerging thought process that India produces among the world’s best automobiles, such joint ventures arrangements are likely to be met with greater scrutiny, the China sentiment included. With much work going on in India on the alternative fuel technologies front, including electric, it is clear that any foreign technology or effort will only be accepted after being truly ‘Indian-ised’ or localised.   

The low entry barrier supporting the entry of start ups such as Ather Energy and Ola Electric in the EV space in India, legacy players such as Mahindra & Mahindra and Tata Motors have not stayed behind in their efforts to make exciting EVs that can address the real-time needs of Indian buyers as well as those in other markets.   

What needs careful consideration is that they are competing with global players such as Honda and Toyota, which makes the Indian automotive market a tough place to be in.   

While players like MG have an Indian management even though it is a wholly owned subsidiary of SAIC Motor (China), the fact is, the going has gotten tough for it too. The situation as a whole for Chinese companies or those that have Chinese partners seems to have turned difficult.  

At one end there's rising competition coupled with China sentiment and at the other, there's the need to invest and grow. 

With India said to be on the path to become the world’s biggest micro electromobility market, a significant shift at various levels is apparent.   

As the biggest employer in the country and the biggest tax player too, the Indian auto sector, the government is keen, turns into a leading manufacturing hub of the world. 

Courting EV players such as Tesla, the government seems clear about how it wants the foreign companies to behave when they come to do business in India. It has made itself clear that it is okay with Chinese players coming to India but they should conduct their operations lawfully and in compliance with laws of the country, mention sources. This points at the government being keen on Indian partners having a larger control of the joint venture, they add. 

The answer to this thinking may be found in how China treats foreign players organisations wanting to do business there. It makes it necessary for the organisations to have a Chinese partner. Besides that, the foreign organisations are known to face face a number of regulatory and cultural challenges. 

The authorities in China are said to favour its own over foreign players. This is despite the commitment by them to invest huge sums and ensure complete transparency in their dealings.   

India as a democratic country has its own regulatory and cultural challenges. As the world’s largest two-wheeler market, fourth largest light vehicle market and fifth largest commercial vehicle market, India is likely to come across as a more balanced market with the participation of leading American, European and Japanese brands. 

Some may have left because of reasons that are complex and also because of a marketplace that is tough to understand as well as crack. The homegrown automakers such as Mahindra & Mahindra, Ashok Leyland and Tata Motors have been giving tough condition to the foreign players in India by smartly moving up the ladder. They are also expanding their reach to some of the most competitive markets across the globe. 

They have been acquiring companies but aren't exactly acquisition hungry. It is not by fluke that Tata Motors, which owns Jaguar Land Rover and the Korean Daewoo commercial vehicle business, has come to command 86 percent of the EV market in India. The automaker has been investing in technology and transparently engaging with its suppliers and other stakeholders to build a market reach.   

Mahindra & Mahindra has been making big investments in setting up as well as upgrading its R&D facilities in India. It is making big investments in upgrading its design and development facilities in the country; in testing and validation facilities as well. A sneak peek in the MRV will reveal the extend of efforts being taken. 

Underling the Indian Government’s seriousness to turn the Indian auto industry into a leading global manufacturing hub is the stress on local technology development, local content and local manufacture. The efforts to make chips is indicative of the same.  

While the BYD, Olectra or BYD-Olectra badged electric buses operated by city and state transport undertakings (state government organisations largely) may be a common sight on Indian roads, it is also evident that the foot print of electric buses made by homegrown manufacturers such as Ashok Leyland and Tata Motors is also fast expanding.  

It was roughly two years ago that BYD announced its plans to enter the Indian electric car market, albeit at the premium end with the e6 MPV and latter with the stylish Atto 3 SUV. The company, claim sources, has already invested over USD 200 million in India. Busy expanding its dealership network across the country, it has sold over 2,000 e-cars in India in the last one and a half years, they add. 

But then, BYD is not the first Chinese auto maker whose proposal to invest in India seems to have run into rough weather. A few months back, MG Motor India was into news regarding it’s parent company wanting to dilute its stake in it. The reason being given for this, was the delay in the clearing the proposal to hike investment in Indian by its parent – SAIC Motor.   

Even though it may appear as an iconic British brand or be projected as one, MG or Morris Garages is owned by a Chinese organisation. The products it offers in India are said to be of Chinese origin even though they are assembled at a factory in Halol, Gujarat. 

With the proposal to invest by SAIC Motors being subjected to greater scrutiny, it is not surprising that MG Motor India is said to scout for a strategic investor to raise funds and fuel growth. Facing raid from the tax authority in November 2022, the company has been making efforts to cultivate a strong local supply chain for its products. It is also supporting the start up culture in India by showing interest for cooperation. 

Despite the strong China sentiment, it cannot be refuted that businesses in India continue to source from there. A large amount of raw materials for the pharma industry are said to be sourced from there by the Indian pharma companies. Likewise, Indian auto companies are also known to source a good deal of parts – including batteries and electronic parts/modules – from China. 

It is necessary that the government and people of India demand that whoever would like to business here should thoroughly engage with the local necessities, regulations and culture in spirit and on paper.    

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The Automotive Research Association of India (ARAI), an autonomous body under the Ministry of Heavy Industries, Government of India, has announced the readiness of its ambitious and pioneering project, the ‘ADAS Test City’.

The new facility spread across 20 acres in Takwe near Talegaon, Pune, is designed as a pseudo city to replicate the diverse road conditions in India, which will be instrumental to test and validate Advanced Driver Assistance Systems (ADAS) in a safe, secure, repeatable and controlled environment. The idea is to support the development of ADAS solutions to meet the real-world scenarios in India. The ADAS Test City is also the first-of-its-kind such dedicated facility in the country.

Furthermore, ARAI also announced that it will host ‘The ADAS Show’ in association with Aayera, at the new facility on 12 December 2025, where it expects automakers, tier 1 suppliers and technology companies to showcase their innovation and test vehicles.

Dr. Reji Mathai, Director, ARAI said, “ADAS are pivotal in enhancing road safety, and ARAI remains committed to driving the adoption of safe, smart, and sustainable mobility solutions across industry. Our upcoming ADAS Smart City Track represents a landmark initiative – India’s first dedicated proving ground designed to enable automotive and auto-tech manufacturers to rigorously test and validate their technologies in real-world conditions. We thank the Ministry of Heavy Industries for their gracious support under their Capital Goods Scheme which has enabled us to install the modular infrastructure for Verification and Validation of ADAS at the Test City. This facility will play a crucial role in advancing ADAS capabilities by empowering manufacturers to deliver best-in-class safety solutions to consumers. Moreover, this ADAS Smart City Track will not only facilitate but will boost indigenous ADAS/AV technology development from the budding start-up ecosystem. Hence, events such as The Adas Show, organised in collaboration with Aayera, are instrumental in fostering open dialogue and collaborative innovation in the realm of intelligent mobility. We look forward to insightful deliberations and a successful event on 12th December 2025.”

Syed Fareed Ahmed, Director, Aayera, added, “THE ADAS SHOW is India’s definitive platform where automotive leaders, technologists, and innovators converge to showcase and discuss the most advanced driver-assistance and safety technologies. The previous editions were inaugurated by Dr. Hanif Qureshi, IPS, Additional Secretary (Automobiles), Ministry of Heavy Industries, Government of India at ICAT, and witnessed participation from leading OEMs such as Honda, JSW MG Motors, BMW, Volvo, Mahindra & Mahindra, Tata Motors, Maruti Suzuki India, alongside global technology leaders including Bosch, ZF, Valeo, Harman, Starkenn, Rosmerta, Dassault Systemes, NXP, Uno Minda and many more. The Adas Show is a dynamic and engaging event that unites vehicle manufacturers, ADAS technology companies and testing equipment providers to present cutting-edge innovations in real-world scenarios.”

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Bengaluru-headquartered engineering R&D service company L&T Technology Services has inked a strategic partnership with Silicon Valley-based SiMa.ai, a leader in Physical AI. The partnership will focus on driving AI-driven solutions across mobility, healthcare, industrial automation and robotics.

As per the understanding, LTTS’ will combine its deep engineering expertise and domain focus with SiMa.ai’s MLSoC ONE platform and software SDK. SiMa.ai will deliver industry-leading AI hardware and software solutions by leveraging LTTS’ core engineering capabilities and human capital investments across key areas such as in-vehicle infotainment (IVI), AD/ADAS, industrial automation & robotics and healthcare.

Amit Chadha, CEO & MD, L&T Technology Services, said, “SiMa.ai cements LTTS’ position as a leader in AI-led ER&D solutions. By combining SiMa.ai’s groundbreaking AI computing technology with our expertise in design and implementation, we are empowering clients across robotics, mobility and healthcare to accelerate time-to-market, enhance operational efficiency and deliver unparalleled value. Together, we are driving the industry forward, embedding intelligence into innovative solutions that are sustainable and scalable.”

Krishna Rangasayee, Founder & CEO, SiMa.ai, said, “Our collaboration with LTTS symbolises the synergy required to scale physical AI applications globally. LTTS brings unmatched engineering capabilities and client reach, making them an ideal partner. By working together, we enable industries to harness the full potential of AI, delivering high performance and power efficiency to clients while simplifying the adoption process.”

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Rapido, a leading ride-sharing platform in India, has joined forces with the Jaipur Police Commissionerate to launch a new initiative focused on improving women's safety in the city's public transportation. This partnership, which follows a week-long awareness campaign, will see the installation of dashcams in 100 Rapido cabs to enhance ride monitoring and emergency response times.

Rapido stated that at present, 40 percent of its cab users in Jaipur are women. The initiative, titled ‘Sashakt Nari – Zimmedari Hamari’ (Empowered Women – Our Responsibility), was flagged off by Jaipur Police Commissioner Biju George Joseph and Deputy Commissioner of Police Rajarshi Raj. The campaign underscores the shared responsibility of citizens, service providers and law enforcement in ensuring women can travel safely and with confidence.

Rajarshi Raji said, "Women's safety is a collective responsibility that goes beyond the role of the police. When communities, technology partners, and law enforcement work together, we can create a safer and more supportive environment for women. Initiatives like this campaign help build confidence, enabling women to move freely for work, education and daily life."

Sudipta Sen, Senior Manager at Rapido Cabs, noted, "At Rapido, safety is not an add-on; it is the foundation of every ride. With 40% of cab users in Jaipur being women, our collaboration with Jaipur Police focuses on practical measures that can make every journey safer and more reassuring. By introducing dashcams, providing 24x7 support, and driving awareness campaigns, we are working to make mobility safer, inclusive and truly empowering for women. Our goal is to ensure that every woman in Jaipur should be able to travel with confidence and see mobility as a catalyst for her independence and participation in the city’s growth.”

The dashcams will supplement Rapido's existing safety features, which include an in-app SOS button, real-time ride tracking and a call-masking feature for female customers.

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In a major move set to redefine global connectivity for mobile assets, Luxembourg-based OrbitsIQ Global (OIQ) has completed the acquisition of Munich-based NewSpace startup, UNIO Enterprise. The deal, which combines UNIO’s pioneering connectivity software with OIQ's satellite and terrestrial network capabilities, aims to provide seamless, uninterrupted service to millions of vehicles, boats, planes and autonomous systems worldwide.

The merger is poised to create a ‘ubiquitous bridge’ between cellular and satellite networks, ensuring constant connectivity for mobile assets. The partnership is a significant step towards enabling critical technologies like autonomous driving, smart logistics and predictive maintenance, all of which rely on uninterrupted data flow.

Katrin Bacic, CEO, UNIO Enterprise, said, "Joining OIQ Global marks a turning point for UNIO. With our connectivity expertise and OIQ’s constellation vision, we will redefine how mobility assets connect. This partnership allows us to accelerate our roadmap and deliver the next generation of intelligent connectivity across terrestrial and satellite networks for industries such as automotive, agriculture, logistics and maritime sectors."

Joseph J Euteneuer, CEO, OIQ Global, said, "We are delighted to welcome UNIO Enterprise into the OIQ Global family. Their AI-powered smart-switch connectivity technology is the perfect complement to our global anywhere anytime connectivity vision. Together, we will establish a seamless, multi-band mobility connectivity capability that unlocks new frontiers in efficiency, safety and operational insight around the world."

The companies believe this acquisition positions Europe at the forefront of global telematics innovation, strengthening the continent’s leadership in a field where mobility connectivity has become as essential as fuel.

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