As Honda Motor Company announced its first battery electric car for India, the 0 Series a (Zero Series Alpha), slated for launch in 2027, the automaker outlined a regional sourcing strategy for batteries to reduce dependence on direct imports from China. The model here will use battery cells supplied by the Chinese manufacturer CATL from its facility in Indonesia.

“The battery for the 0 Series a, even though we use the technology of CATL, the cells that are produced in Indonesia, will be brought over to India. So, you could say those batteries are from Indonesia,” Honda President and CEO Toshihiro Mibe told reporters at the Japan Mobility Show 2025 on Friday.

Global EV industry is heavily reliant on China for battery cells

Maruti Suzuki among carmakers to face hurdles due to lack of domestic cell manufacturing

India’s electric vehicle industry remains heavily reliant on China for battery cells, posing major supply-chain risks amid tense geopolitical relations. Concerned over disruptions and strategic vulnerabilities, automakers are now seeking alternative sourcing options, especially after recent challenges in securing rare earth magnets and advanced battery technologies from China.

Though the Indian government is pushing for more localisation of EVs through an incentive scheme for domestic production of cells in India, the initiatives are yet to achieve a significant impact on the EV supply chain here. Recently, India’s largest carmaker, Maruti Suzuki, flagged that its battery strategy faces the biggest challenge, with the lack of domestic cell manufacturing creating a major hurdle.

Limited domestic capacity and the lack of established large-scale cell producers are pushing automakers here to look for other regional alternatives, such as Indonesia, Thailand, and South Korea, to secure battery supplies without direct import exposure to China.

Honda EV battery sourcing strategy

It has adopted a strategy to source battery packs regionally

Honda is adopting a regional battery sourcing strategy globally, with partnerships and joint ventures, as batteries are large in size and difficult to transport over a larger stretch. For instance, in North America, the automaker has a joint venture - L-H Battery Company – with LG Energy Solution and a battery plant is being constructed in Ohio.

“We will procure the batteries in the optimum way for each of the regions. For North America, we do have a joint venture there with LG. for batteries. We will procure the battery from there for North America. For China, the Chinese market will procure the battery from CATL itself. For vehicles made in Japan, batteries will be procured in Japan and mounted on EV vehicles,” Mibe said. 

Honda India Cars launch plan

10 new Honda models including EVs and hybrids by 2030 

Meanwhile, Honda is planning an aggressive product offensive in India, with 10 new models to be launched by the end of the decade. Alongside BEVs, the carmaker will focus more on hybrid technology as well. Currently, Honda offers hybrid technology on one of its three models available in India. 

“We plan to put more effort into hybrid as well. We will be expanding the hybrid product range for the Indian market as well. Therefore, across all the different types of internal combustion engines, like a gasoline engine and hybrid, and battery EVs, we want to deliver attractive products to our customers in India,” he added.