Reva scouts for partners in US, Europe

Bangalore-based Reva Electric Car Company said on Tuesday it is scouting for partners in the US and Europe for setting manufacturing bases.

"We are exploring to set up contract manufacturing facilities in the overseas market, specially in the Europe and US," Reva Electric Car Company deputy chairman and chief technology officer Chetan Maini told reporters in New Delhi on the sidelines of Environmentally Friendly Vehicle Conference in New Delhi.

He said the company is 'having negotiations with some local parties but so far nothing has been finalised." Maini also said the company aims to increase sales to 30,000 units in three years from less than a 1,000 units per year at present.

"The sales will be around fifty-fifty from domestic market and exports," he added. In order to meet targets, the company is expanding its production capacity. It will commission a new plant in Bangalore by the mid of 2010 and increase the production capacity to 30,000 units in three years. The current facility at Bangalore has an annual production capacity of 6,000 units per annum.

"We have invested around Rs 30 crore (Rs 300 million) for the first phase of the new plant and we will continue to invest more for step by step expansion of the plant once it becomes operational," Maini said.

Reva, which had recently entered into an agreement with General Motors India for launching electric version of the compact car Spark, said it was also open to partnering other companies.

"Our technology is useful for all sorts of vehicles from three-wheelers to big cars, so we are ready for other relationships in the future but as yet, nothing is finalised," he said. For the time being the focus will remain on the electric Spark for the Indian market, he said, adding Reva is also ready to at other models of GM.

The company will launch its new electric car model NXR, which was showcased at the Frankfurt Auto Show, early next year globally and the other model NXG will be rolled out by early 2011.