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Why Gujarat Is Becoming India’s Hub for EV Manufacturing and Battery Startups

Gujarat has built an industrial muscle over decades; now electric vehicles (EV) and batteries are its new battleground. The state is turning factories and policy into opportunity hubs across Surat, Sanand, and Rajkot. This isn’t just a shift, but it’s a reinvention of Gujarati dhandho. Startups, established firms, and state support are aligning to make Gujarat central in the Indian EV story. We’ll explore how clusters are forming, what incentives drive investor interest, and which startups are making waves. This is where Gujarati entrepreneurs will find fresh inspiration and business opportunities.

Gujarat’s EV Push: Policy & Momentum

Gujarat launched its Electric Vehicle Policy in 2021 to push demand and supply. It provides EV buyers with incentives, subsidies for charging infrastructure, and state funding for manufacturing units. The state also cut EV taxation, from 6% to 1%, till March 2026 to boost adoption. The Gujarat EV portal reports over 84,000 EV registrations so far, and more than 518 planned charging stations. Chief Minister Bhupendra Patel has committed Gujarat to becoming a manufacturing base for EVs and associated parts. Together, policy and numbers create momentum that draws startups and manufacturers.

Surat, Sanand & Rajkot: Gujarat’s EV Clusters

Surat, Sanand, and Rajkot are developing as Gujarat’s EV powerhouses with their unique strengths, like manufacturing depth, supply chains, and talent. They create a balanced ecosystem that attracts both startups and global investors. Homegrown ventures like ABZO Motors in Ahmedabad show how local founders are stepping into the EV race with bold products.

Sanand: Automobile Core

Sanand already hosts Tata Motors, MG, and others. Its auto ecosystem helps with logistics, suppliers, and land. The infrastructure and workforce base make it fertile ground for EV and battery plants.

Surat: Supply Chain & SMEs

Surat is rich in small factories, parts makers, and material suppliers. These SMEs can repurpose themselves into EV component or battery pack producers. Also, the city municipal body launched its Green Vehicle Policy-2025 with incentives and charging station plans.

Rajkot: Parts and Fabrication

Rajkot is famous for metal workshops, mold makers, tool rooms, and manufacturing of components. These skills can shift into battery enclosures, connectors, and EV hardware components.

Startups & Manufacturers in EV & Battery Space

From scooters to batteries, Gujarat’s EV landscape is no longer just policy on paper, it’s already visible on the ground. Local companies are building vehicles, assembling packs, and experimenting with smart energy systems. These startups and manufacturers show how Gujarat is quietly powering India’s EV momentum:

  1. ABZO Motors: Ahmedabad

ABZO Motors is an EV startup from Ahmedabad focused on building electric motorcycles. Their flagship model, ABZO VS01, is a high-speed e-bike designed for Indian roads and has a range of up to 180 km. The company focuses on local manufacturing and sustainable design and positions itself as a bold player in Gujarat’s EV sector.

  1. Mercury EV Tech Limited: Vadodara

Mercury EV builds electric two, three, and four-wheelers along with their key parts like batteries, chassis, and motor controllers. They are full-stack EV solutions providers with manufacturing rooted in Gujarat. Their focus is on delivering end-to-end technology for clean mobility.

  1. Greta Electric Scooters: Ahmedabad

Greta in Ahmedabad designs and sells electric two-wheelers for Indian riders. They manufacture locally and offer multiple scooter models suited for both city and semi-urban commutes. The company positions itself as an affordable and accessible EV option.

  1. Wardwizard Innovations & Mobility: Vadodara

Wardwizard runs one of India’s largest EV manufacturing plants in Vadodara. Their brand “Joy e-bike” produces a wide range of electric scooters and motorcycles. They are also investing in in-house battery assembly and green mobility R&D.

  1. Nexcharge: Prantij, Gujarat

Nexcharge is a lithium-ion battery pack maker with a large automated plant in Prantij. They supply battery modules for electric vehicles, renewable energy storage, and utility systems. Their facility is designed to serve India’s growing EV and clean energy markets.

  1. Renon India: Surat

Renon India designs and produces lithium-ion battery packs for EVs and energy storage. Their solutions include swappable architectures like “Alpha,” smart BMS platforms, and safety-driven designs. The company is trusted by OEMs and holds multiple patents in battery tech.

Why Investors Are Looking to Gujarat

Investors favor Gujarat because of policy clarity, infrastructure, and cluster synergy. Sanand’s existing auto hub reduces setup friction. Surat’s supplier base offers ready partners. Rajkot’s precision parts make supply chains closer. Battery manufacturing is also catching eyes. Gujarat’s high clean energy capacity makes power for battery plants less costly. In the Gujarat Global Summit, large EV & battery MoUs worth crores were signed. For Gujarati entrepreneurs and brands like ABZO Motors, this is a rare window where capital, policy, and demand converge.

Challenges That Remain

Gujarat’s EV push is impressive, but still there are gaps. Charging infrastructure outside major cities is limited and makes long-distance travel harder. Battery recycling systems are only beginning to take shape which leave concerns about sustainability. Raw materials like lithium are mostly imported, which adds cost pressures. At the same time, workforce training for EV technology is still in its early stages.

A recent report by the Secretariat highlighted Gujarat slipping in the India Electric Mobility Index (IEMI), pointing to execution and policy gaps. But these are also opportunities. Startups and innovators can step in to fill these voids in charging networks, recycling, or skill-building.

Training & Jobs: The Human Side of the EV Shift

For the EV wave to be sustainable, many Gujarati youth must get new skills. ITIs and engineering colleges are beginning to introduce EV modules in their curriculum. Startups and OEMs conduct upskilling workshops in battery assembly, electric drivetrain servicing, and diagnostics. This means not just factory jobs, but higher technical and maintenance roles, all part of modern Gujarati dhandho.

Conclusion

Gujarat is riding a new wave. Its industrial legacy, combined with bold policy and startup energy, is turning it into a hub for EV manufacturing and battery startups. Entrepreneurs are finding inspiration in this shift. Surat, Sanand, and Rajkot each bring unique strengths. While startups like ABZO Motors, Greta, and Wardwizard lead early innovations, the broader ecosystem is opening opportunities for traditional firms to pivot. This isn’t a distant dream for Gujarat, it’s happening now. Dhandho is adapting. Gujarati entrepreneurs who embrace EV tech will help define the next decade of business in their state and beyond.

Stay tuned with Gujpreneur for more!

Jugal Jadhav

A passionate writer with a flair for storytelling and creativity. Jugal transforms ideas into words that resonate and inspire. With a solid fascination for content writing, he delivers his views and narratives perfectly packed in blogs.

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