Ather Energy

China imposed export controls on lithium battery materials and manufacturing equipment starting November 8, affecting global EV supply chains including Indian electric two-wheeler manufacturers. The regulations target high-energy lithium-ion batteries with energy densities of 300 Wh/kg or higher, key cathode and anode materials, and critical manufacturing machinery. Ather Energy shares gained 16% in the past month and 85% over three months, reaching Rs 634.5. The company sources lithium-ion cells from China but is reducing dependence through partnerships with Amara Raja Energy & Mobility for battery localization. Analysts view Ather's technical indicators as strong, with the stock trading above its 20-day SMA near 580-585 zone. Ola Electric shares declined 13% over the past month to Rs 52.58 and are down 41% over the past year. Despite producing 4680 lithium-ion cells at its Tamil Nadu Gigafactory and developing rare earth-free ferrite motors, Ola remains exposed to Chinese component dependencies. Technical analysts see bearish momentum for Ola Electric, recommending caution with critical support at Rs 48. Both companies face supply chain disruptions and potential cost pressures, though Ather's localization efforts and stronger technical position may provide better near-term resilience.

Ather Energy Ltd has achieved a production milestone of 500,000 electric scooters with the launch of its RIZTA model. The company is establishing Factory 3.0 in Maharashtra, which is expected to increase annual production capacity to 1.42 million units.

Ather Energy Limited announced it will defer demand incentive claims worth Rs. 262.50 million under the PM E-DRIVE scheme for up to 52,500 vehicles. The deferral stems from supply chain disruptions caused by China's export ban on certain heavy rare earth magnets, forcing the company's motor suppliers to make temporary adjustments that deviate from Phased Manufacturing Program guidelines for traction motor manufacturing. The company is in discussions with the Ministry of Heavy Industries seeking temporary exemption from domestic fitment requirements for magnets. Ather has developed a Heavy Rare Earth Free motor as an alternative solution and received type approval from ARAI, with PM E-DRIVE eligibility certificates already being issued for these motors across different models.