According to the Karnataka government, International Battery Company has planned to invest $1 billion in the state of Karnataka; the company plans to build a factory to manufacture lithium-ion cells.

Even though petrol and diesel engine vehicles remain the most preferred mode of fuel used for transportation in India, the government is trying to accelerate the shift towards green cars; many states, such as Karnataka, have made quick decisions to bring on companies who produce such vehicles by cutting down on red tape and throwing in subsidies.

The company is making its initial batches of its rectangular cells in South Korea but is planning to acquire 100 acres of land near Bangalore, the technology hub, to build its plant.

Gunjan Krishna, Commissioner of Karnataka’s Industries and Commerce Department, said the company is set to commence production by 2025 and will be eligible for subsidies after they start production.

The commissioner added that the company expects to produce 10 gigawatts by 2028.