India brand Sonalika Tractors all set to enter into electric microcars segment in Europe

In response to increased worldwide demand for clean micro-mobility, India's largest tractor exporter, Sonalika Tractors, intends to enter the emerging electric quadricycle industry in Europe, beginning with the Netherlands.

According to a senior corporate executive, Sonalika has already collaborated with a worldwide engineering firm to develop a product for Western markets.

"We are at a good stage in developing the product (quadricycle)," citing Sonalika Group Joint Managing Director Raman Mittal, Autocar Professional reported. He did not provide a launch date, but the product might be accessible within 12-24 months.

"The product was created in India with worldwide partners. So the prototype is ready. We are in the feedback phase. We are in no rush. We are extremely close to the endgame. We are almost there," he remarked.

Sonalika, situated in Punjab, is a prominent tractor manufacturer in India, accounting for around 13.5% of the domestic market. The firm is India's largest tractor exporter, accounting for around 34.3% of the export market.

Sonalika Group feels that now is the appropriate moment to enter the electric microcar category, which is gaining popularity in Europe. They are substantially smaller and lighter than typical vehicles, making them easier to park and drive on congested streets.

Mittal explained the rationale for joining the category, saying, "We have noticed that microcars are something that every European country would need, given their smaller size and ease of parking. Furthermore, unlike in India, pricing entry-level/small automobiles is not difficult in Western countries."

While they may be referred to as microcars in Amsterdam, they are officially classified as L7E (heavy quadricycles) and L6E (light quadricycles) in Europe.

This new model is expected to be produced at the company's third factory, which will be entirely electric. Aside from the EV quadricycle, Sonalika will manufacture electric tractors at the same plant.

The firm has one facility in Hoshiarpur, Punjab, and is expanding with a second unit for exports.

While the firm places a heavy emphasis on vertical integration, with many of its vital parts sourced from Hoshiarpur, Punjab, it is also looking at other North Indian states for the third facility.

"It's exciting now. It will all come together at one large plant focused on electric vehicles," Mittal added.

The corporation plans to invest over Rs 1,000 crore in the whole electrification project, which includes the development of the quadricycle, electric tractors, and a new electric car facility.