1.4 Billion Travel Demand Surges! How Can Lithium Battery Companies "Understand" India?

In 2023, BAK Battery, leveraging its cylindrical cell technology and product advantages, entered the top six in India's lithium-ion battery import market for the first time, and further rose to fourth place in 2024.

“The travel choices of over 1.4 billion people are profoundly reshaping the underlying logic of the global electric two-wheeler market! As the world’s most populous country, India’s collective shift in consumption is enough to redefine the market landscape.”

The astonishing density of population movement not only tests the carrying capacity of urban transportation but also conceals enormous potential in the consumer market. India once boldly invested hundreds of billions in a rapid and aggressive metro construction push, with the metro network mileage soon set to surpass that of the United States, ranking second in the world (only behind China). However, behind this seemingly brilliant infrastructure achievement lies a stark contrast of "huge investment versus sparse passenger flow." Delving into the root causes reveals a threshold effect caused by high ticket prices, impractical planning logic, difficulties in adapting to local culture, entrenched debt pressures, persistent safety concerns, and the squeezing of resources in livelihood sectors—all weaving an invisible net that traps the metro’s efficiency.

From the perspective of real livelihood needs in India, in most cities, 75% of residents have a daily commuting distance of less than 4 kilometers. Such short-distance travel scenarios call for more suitable means of transportation. With their agility in navigating city streets, affordability that fits people's livelihoods, and environmentally friendly attributes in line with green development, electric two-wheelers are reshaping the urban mobility landscape in India and have become the preferred choice for ordinary people's daily travel.

"First-mover advantage" shows results, ranks among the TOP 4 lithium battery importers in India

"When 1.4 billion people start switching to electric mobility, the world charges up!"

In 2024, the total sales of electric motorcycles in India and Southeast Asia reached 1.74 million units, marking a year-on-year growth of 28%, with an electrification rate of 5.1%, indicating a vast market potential. Specifically, for India alone, data suggests that the battery demand for electric motorcycles will exceed 3 GWh by 2025. However, this is contrasted by a significant lag in domestic lithium battery production capacity. Shenzhen BAK Power Battery Co., Ltd. (hereinafter referred to as BAK Battery) has keenly identified this "supply shortfall" situation and is proactively positioning itself in this growth market.

BIC Battery has already exported 21700 cylindrical cells to India, and the 46-series large cylindrical cells have also started to be planned.

Bick Battery has consistently maintained a global perspective on the lithium battery market. With forward-looking technology reserves and market predictions, it identified the Indian market early in the global electrification transition. Through years of systematic planning, it successfully converted its first-mover advantage into market share, thereby reaffirming the "first-mover advantage" theory in the Indian electric market.

According to data from the research institute EVTANK, in 2023, BAK Battery, leveraging its cylindrical battery technology and product advantages, entered the top six in terms of market share for imported lithium-ion batteries in India for the first time. By 2024, it further climbed to fourth place, further validating the effectiveness of the company's early strategic investments.

Li Fengmei, Vice President of BAK Battery, stated in an interview with Battery Network that the company's attention to the Indian market stems from a deep insight into market opportunities and the dual drive of globalization strategy. As the most populous country in the world, India has enormous market potential. Currently, electric motorcycles, scooters, and rickshaws are gradually replacing high fuel consumption vehicles, making India a key potential growth market for charging technology. BAK Battery hopes to provide Indian consumers with a better two-wheeler travel experience through high-quality lithium battery products and excellent service capabilities.

To further accelerate the electrification process and promote the continuous expansion of the electric two-wheeler market in India, the Indian government has established a multi-tiered policy system and introduced a series of targeted subsidy policies to provide support for the purchase of electric vehicles and the construction of charging infrastructure. Li Fengmei further explained that the incentive support from these policies has created a favorable environment for the development of high-quality lithium battery companies in the Indian market.

In the Indian market, BAK Battery targets the mid-to-high-end product lines of leading automobile companies and establishes deep cooperation with several leading brands in the Indian two-wheeler industry.

Li Fengmei emphasized that these customers have stringent requirements for battery performance. BAK Battery excels in long-range capabilities, helping two-wheel vehicles travel further. At the same time, with industry-leading high-consistency cylindrical battery technology, it ensures travel safety with high-safety battery cells.

"Mature market experience has laid the foundation for BAK Battery's development and layout in emerging markets such as India," analyzed Li Fengmei. BAK Battery has been involved in the Chinese two-wheeler market for many years, possessing leading products and market experience. In addition to providing energy solutions for excellent domestic companies, the company has been active in the international market as one of the representatives of China's lithium battery industry. With a global perspective, it continues to expand its business in mature overseas markets such as Europe and America. The stringent technical standards, complex compliance requirements, and refined supply chain management demands of these mature markets have driven BAK Battery to build a comprehensive system covering R&D, production, quality control, and supply chain. Therefore, BAK Battery can quickly address the business and market needs of emerging markets such as India with its mature market experience, providing high-quality products and services.

From a globalization perspective, BAK Battery's market deployment in India is not an isolated strategic choice, but is based on years of accumulation in mature markets at home and abroad. By leveraging its advantages in supply chain, technology, and overseas expansion capabilities honed in mature markets, BAK Battery is expanding into emerging global markets such as India to further enhance its international competitiveness.

Li Fengmei stated that leading technology and products are the foundation for BAK Battery’s rapid growth in the overseas two-wheeler market. BAK has developed a variety of products specifically for the electric two-wheeler sector, offering superior performance and consistently leading the market with technological advantages. For example, the flagship 21700 cylindrical battery excels in key indicators such as energy density, rate performance, and consistency, precisely meeting the stringent requirements for range and safety of electric two-wheelers in India’s hot and humid environment.

Localization and Technological Advancement: Knocking on the Door of India’s High-End Market

In India, there is a saying, "When in Rome, do as the Romans do," which perfectly aligns with the importance of local adaptation in the Indian market.

As a global pioneer in lithium battery technology innovation, BAK Battery has carried out in-depth localized product development when expanding into the Indian market, addressing its unique market demands, policy environment, and user pain points.

Geographical environmental adaptability

In the high-temperature, high-humidity environment of India, there are higher requirements for the temperature adaptability and heat dissipation capability of batteries. The 21700 battery product promoted by BAK Battery in India adopts a symmetrical structure with uniform pressure release, which effectively facilitates heat dissipation. A safety valve is set at the top of the cell, which can quickly release pressure in extreme situations, greatly enhancing safety. The operating temperature range is -20℃ to 70℃, providing excellent adaptability to both high and low temperatures. Additionally, the battery's outstanding shock resistance ensures stability amid frequent bumps and vibrations caused by mountainous and hilly terrains and road conditions.

Infrastructure Support Adaptability

India's infrastructure has significant shortcomings in power and charging networks, with frequent voltage fluctuations and power outages, and low coverage of charging facilities. This places stringent demands on battery adaptability. BAK Battery's 21700 battery can achieve fast charging and long-lasting endurance.

Economy

The annual sales of the Indian motorcycle market exceed 20 million units, with fuel vehicles accounting for over 90%, and the electrification rate is only 5.1%. Users are quite sensitive to price. BAK Battery has achieved cost control without compromising performance through material innovation, structural innovation, and large-scale production.

Based on adaptability to the geographical environment, infrastructure compatibility, and economic considerations, BYD Battery optimizes product design, structural design, and material design to ensure the products possess characteristics of high stability, long lifespan, easy maintenance, and low cost.

Where there is a market, competition is never absent. This is an iron rule of the business world and a catalyst for industrial upgrading.

From a competitive perspective, the Indian lithium battery market has formed a dynamic where Chinese companies continue to lead while local Indian forces are rising.

In response to competition and cost pressures in the Indian market, Li Fengmei pointed out that BAK Battery’s core focus will be on "local adaptation" and "optimizing product forms" to enhance overall value.

BICK Battery will deepen local insights, continuously track changes in the demand for electric two-wheelers and policy shifts in the Indian market, and turn these insights into prerequisites for product design, making products better suited to usage scenarios in India.

Li Fengmei stated that BAK Battery has already established a diversified product matrix in the two-wheeler market. In early 2021, the company took the lead in launching the 4680 all-tab large cylindrical battery in China and subsequently introduced other representative products in the 46 series. The company has achieved cutting-edge progress in both technical layout and R&D. Through structural design optimization and material system upgrades, BAK has improved product form, enhancing both performance and safety. In the coming years, the company plans to introduce large cylindrical batteries and a wider range of products into emerging markets such as India, in order to better explore and meet the local demand for lithium battery applications in the Indian market.

Facing the enormous potential of the incremental market and the strategic necessity of global business expansion, BAK Battery's next phase of development in the Indian and Southeast Asian markets will focus on deepening localization foundations, comprehensively considering technology adaptation and integration, expanding more application scenarios, unleashing regional market potential, and leading the electrification transformation.

In terms of the product system, BAK Battery will adopt a diversified product portfolio to meet the varied needs of different customers and product series; in terms of product form, the company will accelerate the introduction of the 46-series multi-material large cylindrical batteries in the two-wheeler market, further supporting customers in enhancing the overall competitiveness of their end products.

Looking ahead, BAK Battery will continue to deepen its localized presence in the Indian and Southeast Asian markets, while fully analyzing resource allocation and policy orientation, and will continuously seek opportunities to establish deeper cooperation with more customers.

Conclusion:1.4 billion in India is not just a number, but a multitude of real travel demands. The consumer scale here is a blue ocean full of infinite possibilities.

The wave of electrification is upon us, and it is the perfect time to ride the momentum! Amidst the travel revolution of 1.4 billion people, BAK Battery leverages its "localized DNA" and "global strategic vision" as dual drivers to deliver tailor-made mobility solutions for the Indian market—featuring high safety, long range, strong adaptability, and cost-effectiveness. With its "first-mover advantage," BAK Battery is seizing the track, and with a "long-term commitment," it is deeply cultivating the ecosystem.