Ather Energy has announced plans to incorporate a wholly owned subsidiary in Hong Kong as part of its strategy to strengthen procurement operations and reinforce supply chain resilience across the Asia-Pacific region.
The decision, approved by the company’s board and disclosed through a regulatory filing, is aimed at securing access to critical components and mitigating sourcing risks amid rising global supply chain uncertainties. The new entity will function as a regional procurement hub, enhancing vendor coordination, logistics management, and component sourcing capabilities.
The move comes against the backdrop of tightening export controls by China on rare earth magnets—key materials used in electric vehicle traction motors—which have disrupted global EV supply chains. These restrictions recently prompted Ather to defer demand incentive claims amounting to ₹26.25 crore under the PM E-DRIVE scheme, affecting approximately 52,500 vehicles, as the company implemented temporary adjustments in its motor manufacturing processes.
Industry analysts note that Ather’s expansion into Hong Kong reflects a growing emphasis among Indian EV manufacturers on diversifying supply chains and reducing dependence on single-source procurement models. Establishing a regional subsidiary is expected to provide the company with greater operational flexibility and improved risk management, particularly for strategically critical components.
The initiative underscores the broader shift within the Indian EV ecosystem toward building resilient, globally integrated supply networks to navigate geopolitical, regulatory, and material supply challenges.
