This Coimbatore-based startup is transforming the automotive industry by converting internal combustion engine (ICE) vehicles into electric ones. AR4 Tech was Founded in 2021 by Sivasankari T P. Ever since then, AR4 Tech is not only making EVs more accessible but also empowering communities in Tier 3 and 4 cities.
AR4 Tech not only specializes in offering top-notch OEM/ODM, electric, and solar-powered vehicles, but also their parts. They have developed hybrids or complete EV conversion kits for them. The company primarily focuses on converting existing Gas-powered 2-wheelers and cars into electric-powered technology.
The Visionary Behind AR4 Tech
Sivasankari T P, the Managing Director of AR4 Tech, hails from a remote village in Kanchipuram, she defied societal norms by pursuing higher education, becoming one of the first women in her village to graduate. Her journey from being a lecturer to an entrepreneur was marked by resilience and a keen eye for opportunities. Inspired by her experience at EMF Innovations, a leading manufacturer of electric motors for two-wheelers, Sivasankari identified a gap in the market—making EVs affordable for the middle class.
The Unique Solution
R4 Tech offers EV conversion kits that can transform any ICE vehicle into an electric one at a remarkably low cost of ₹39,900. This innovative approach addresses two significant challenges:
- Affordability
- Environmental Sustainability
The conversion process involves using locally sourced components, including self-designed motors and sodium-ion battery packs, which not only reduces costs but also ensures efficiency. The converted vehicles can be fully charged within three hours from a standard 15-amp socket, allowing users to travel up to 80 km per day.
Market Strategy and Impact
AR4 Tech’s strategy diverges from traditional EV companies by targeting Tier 3 and 4 cities. This approach has proven highly effective, with 95% of their two-wheeler sales coming from these regions.
The company engages in marketing by partnering with local influencers and organizing vehicle demonstrations at public events. This community-centric approach not only promotes their products but also helps local communities by offering training and dealership opportunities.
Financial Performance and Future Plans
In 2024, AR4 Tech reported a revenue of ₹1.67 crores and aims to reach ₹4 crores in the current financial year. The company has experienced significant growth, with a 522.21% increase in revenue and a 935.5% rise in profitability in the financial year ending 2023. Looking ahead, AR4 Tech plans to expand its offerings into hydrogen and drone technology, while establishing an academic unit for training service technicians and entrepreneurs.
EV Market in India
- According to Fortune Business Insights, the Indian EV market is forecasted to expand from US$ 3.21 billion in 2022 to US$ 113.99 billion by 2029, with a 66.52% CAGR.
- Currently, India’s EV market is relatively small, accounting for about 2.5% of all cars sold in 2024, with high prices and a limited charging network deterring potential buyers.
- On a state-wide level, Goa leads the country in EV penetration, with 14.20% of all new vehicles sold this year being electric, followed by Tripura and Chandigarh. Delhi also stands out with a 10.72% penetration, reflecting the capital’s push towards sustainable urban mobility.
- India’s electric vehicle market is anticipated to expand at a CAGR of 28.52% to attain US$ 18.319 billion by 2029 from US$ 5.22 billion in 2024.
- The Indian EV battery market is projected to surge from US$ 16.77 billion in 2023 to a remarkable US$ 27.70 billion by 2028.
- The Government has reaffirmed its commitment towards EVs and its mission for 30% electric mobility by 2030. Budget announced customs duty exemption on the import of capital goods and machinery required for the manufacture of lithium-ion batteries that typically power EVs.
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