Recently, Sterling Gtake E-Mobility Ltd (SGEM), the Delhi NCR-based motor control units (MCUs) manufacturer for electric vehicles (EVs), announced that it has secured an order worth Rs 60 crore for MCUs from a leading electric two-wheeler manufacturer.
Jaideep Wadhwa, director, SGEM, told FE that the company’s investment and efforts over the last three years have begun paying dividends. “We had the courage to invest in the EV segment at an early stage, and are ideally positioned to take advantage of the increasing customer interest in EVs.”
By the end of this fiscal year, he expects EV components to contribute more than 10% of Sterling’s revenues.
Rising EV adoption has created an immediate requirement to embrace the next-generation needs of the automotive industry, with green technologies and e-mobility ecosystems promising to infuse sustainability and performance in the vehicles of tomorrow. “SGEM has been consistently focusing on identifying partners and driving technology transfer and localisation to provide customers with application support and technology adapted to Indian requirements,” Wadhwa added.
SGEM’s product portfolio covers the entire spectrum of applications from 1 kilowatt (kW) to 200 kW, and from 48V to 700V. With the contracted business commencing soon, SGEM aims to emerge as the largest domestic supplier of MCUs by the end of 2021.
The company is in advanced stages of discussions with more than 20 automobile (EV) OEMs for their MCU requirements for different vehicle segments, including two-wheelers, three-wheelers, passenger vehicles and commercial vehicles, and expects exponential growth in the demand for this product in the future.
“Post the revised FAME II subsidies and the rising prices of petrol, this is possibly the best time to be part of the EV ecosystem,” Wadhwa said. “Our USP is that we cover the entire portfolio, everything from a low-speed scooter to a big bus. We continue to look at opportunities in the EV space and the powertrain space, and depending on where we get the right technology partners we may expand.”
The brain of any MCU is a semiconductor, and with the current global shortage of semiconductors, Wadhwa said the supply chain has emerged as a major challenge for SGEM. “Right now, we are spending a lot of time trying to build an accurate estimate of what all we require and when; the lead times are crazy, at times when we talk to suppliers we get lead times of 30-50 weeks,” he said.
Although SGEM started operations in India with CKD kids, it has now started its localisation plans for board-level assembly in India. “In a few months, we will be bringing in printed circuit boards, or PCBs,” Wadhwa said. “While designs and products are largely coming from Gtake (from China), we have our own product development activity that has kicked-off alongside.”
As of now, SGEM is focusing on electric two-wheeler, three-wheeler and commercial vehicle space in India. “That’s where the customer demand is right now; while electric four-wheelers are also picking up pace gradually, the real activity is happening in the two-wheeler, three-wheeler and commercial vehicle space,” he said.
Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.