JSW Motors is getting ready to enter the Indian car market with big plans and serious money on the table. The group has committed about 3 billion dollars for this new automotive venture. This upcoming brand will be fully owned by JSW and will operate separately from its existing joint venture with SAIC-owned MG Motor India. But before its first SUV even hits showrooms, the company is running into an unexpected hurdle.
The problem is associated with imports from China. JSW has tied up with Chery Automobile for technology support, and its first product is expected to be based on the Jetour T2 i DM plug in hybrid SUV. The vehicle will be locally assembled at a new plant in Chhatrapati Sambhajinagar in Maharashtra. The target is to launch in the second half of 2026.
However, there are some key parts required for production which are obtained from Chinese suppliers. These include safety glass components such as windshields and sunroofs. Under India’s quality control rules that were introduced in 2020, overseas suppliers must be certified locally before exporting components to India. This approval process can take months. Apart from certification, import licences for these Chinese-sourced components are also required, and these licences are being seen as a key risk to the 2026 launch timeline.
JSW has written to the ministry of commerce and industry seeking to expedite clearances for its selected Chinese suppliers. The company says these suppliers were selected after considering both Indian and global options. At present the necessary glass components are not readily available off the shelf from domestic manufacturers.
JSW is also exploring alternative sourcing from countries like Germany and Vietnam. The drawback is higher cost. Chinese suppliers benefit from scale, which helps keep pricing competitive. Switching sources may increase production expenses and affect final vehicle pricing.
So far there has been no public response from the ministry. For JSW Motors, the coming few months will be crucial. The company wants to get into the growing hybrid and electric vehicle space in India quickly. The Jetour based SUV is also expected to be positioned as one of the most affordable plug in hybrid SUVs in India, which makes timely launch even more important. Whether the Jetour based SUV arrives on time now depends largely on how fast these approvals move.