Tata Group to build $5 billion 40 GW battery cell gigafactory in the UK to supply JLR
Tata Group has announced that it will be investing $5 billion to build a 40 Gigawatt (GW) battery cell Gigafactory in the UK that will deliver electric mobility and renewable energy storage solutions. The Indian conglomerate’s anchor customers will be its luxury vehicle arm Jaguar Land Rover (JLR) along with Tata Motors. Supplies to both firms will commence from 2026 onwards.
The massive investment comes as a major boost for the UK’s auto sector, particularly with respect to domestic battery production. The announcement also puts Tata into the front row as far as the biggest battery producers in Europe are concerned. It also marks Britain’s biggest move in the auto gigafactory space, helping it stay afloat amidst dominance from the US and Europe in the green EV business.
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Speaking about the milestone investment, N Chandrasekaran, Chairman - Tata Sons, said, “The Tata group is deeply committed to a sustainable future across all of our business. Today, I am delighted to announce the Tata group will be setting up one of Europe's largest battery cell manufacturing facilities in the UK. Our multi-billion pound investment will bring state-of-the-art technology to the country, helping to power the automotive sector’s transition to electric mobility, anchored by our own business, Jaguar Land Rover. With this strategic investment, the Tata Group further strengthens its commitment to the UK, alongside our many companies operating here across technology, consumer, hospitality, steel, chemicals, and automotive. I also want to thank His Majesty's Government, which has worked so closely with us to enable this investment."
Commenting about the announcement of the UK gigafactory, UK Prime Minister - Rishi Sunak, said, “Tata group’s decision to build their new gigafactory here in the UK – their first outside of India – is a huge vote of confidence in Britain. This will be one of the largest-ever investments in the UK automotive sector. It will not only create thousands of skilled jobs for Britons around the country, but it will also strengthen our lead in the global transition to electric vehicles, helping to grow our economy in clean industries of the future."
The Tata 40 GW battery cell gigafactory will produce high-quality battery cells for a variety of applications across mobility and energy sectors. The new plant is also expected to create about 4,000 jobs in the UK. The new facility will be built in Somerset, south-west England close to JLR’s factories located in Birmingham in central England.
The move will be in line with Britain’s net-zero goals as the country plans to ban the sale of new petrol and diesel cars from 2030 onwards. Under the post-Brexit era, more automakers will be looking to source automotive components locally in order to avoid tariffs on imports from Europe from 2024. The new batteries built by Tata will go on to power JLR’s future electric lineup including electrified versions of the Range Rover, Defender, Discovery and Jaguar brands.
