A naukri.com initiative
Inc42
4w
3.5k
Image Credit: Inc42
This Indian Startup Is Ditching China’s Rare Earth Grip With Smarter EV Motors
- China's ban on the export of rare earth minerals has caused disruptions in the global automotive industry, with India also affected due to the country's control over 90% of rare earth minerals.
- Amidst this crisis, Chara Technologies, founded by tech experts and automotive veterans, developed synchronous reluctance motors that do not rely on rare earth materials, offering a viable alternative for electric vehicles.
- Chara's motors are 5% more efficient than traditional rare-earth-based motors, addressing concerns of reliance on Chinese rare earths.
- The startup received initial funding from IISc Bengaluru and later raised significant investments from venture capital firms, enabling them to scale up production of these rare-earth-free motors.
- Chara's motors have been well-received, being 5% more efficient than rare-earth motors, although they are slightly heavier due to the absence of powerful magnets.
- The startup serves customers globally, including partnerships with European companies, and plans to ramp up production capacity to meet increasing demand in the electric vehicle market.
- Chara aims to sell 15,000 motors by the end of FY26, with potential revenues of $5 Mn, and is exploring partnerships for contract manufacturing to reduce costs.
- While facing challenges such as motor weight impacting vehicle efficiency, Chara's innovative approach to sustainable mobility amidst rare earth supply chain disruptions signifies a promising future for the startup.
- The startup's impact extends beyond electric vehicles, with a significant portion of revenue coming from off-highway applications, showcasing the versatility and market demand for their rare-earth-free motors.
- Chara's focus on sustainability and long-term impact aligns with the growing global shift towards reducing reliance on rare earth minerals, positioning the startup strategically in the evolving automotive industry landscape.
Read Full Article
45 Likes
For uninterrupted reading, download the app