CHENNAI: Electric cars manufactured in Chennai require a kilogramme of magnet to provide the motion needed to fire engines, and these magnets are processed in the Northern Territory of Australia which is vying for a trade partnership with India to help the country achieve the net carbon neutrality by 2070.
With vehicle manufacturing companies like Kia and Hyundai relying on these magnets for their electric vehicles, Northern Australia is looking to strengthen ties particularly with south India, including Tamil nadu, said Northern Territory Deputy Chief Minister Nicole Manison.
She said Northern Territory has offtake agreements with Kia and Hyundai which are manufacturing cars in Chennai. Rare earth from the Northern Territory is used in Chennai to help develop magnets, an integral part of electric vehicles. “We are looking at more electric car manufacturers based out of Chennai to look at the Northern Territory, a place from where they can source their minerals,” she said.
Manison said it is the first effort by the Northern Territory government in Australia to build a foundation of understanding with India. Like Western Australia, which has an office to boost trade ties, Northern Territory will be looking at Australian Trade and Investment Commission (Austrade) to represent the Northern Territory.