Sterling Tools joins hands with the UK’s AEM to launch rare-earth magnet-free EV motors in India, boosting localisation, sustainability, and reducing China supply reliance.
Sterling Tools Limited has announced a partnership with UK-based Advanced Electric Machines (AEM) to manufacture rare-earth magnet-free traction motors in India. Through its subsidiary Sterling Gtake Electro Mobility (SGEM), the company will produce these advanced motors at its Faridabad facility using patented AEM technology.
“This foray into rare earth magnet-free motors demonstrates the Group’s commitment to being a technology leader and an industry pioneer,” said Anil Aggarwal, Chairman of Sterling Tools Limited. “We are expanding beyond MCUs to being a complete solution provider and meeting the EV industry’s growing demand for advanced technology.”
The agreement gives SGEM access to AEM’s proprietary designs, enabling it to offer high-performance electric motors that eliminate the need for permanent magnets, which are often sourced from geopolitically sensitive regions.
The technology addresses key supply chain concerns and supports India’s localisation and sustainability goals under initiatives such as Make in India.
According to Sterling, the new product line will cater to a wide range of vehicle categories and aims to serve a market expected to reach ₹150 billion by 2030. The business plan includes joint development of integrated motor and controller solutions to meet the increasing demand for consolidated EV sub-systems.
“India’s automotive and zero-emission manufacturing market offers immense potential for growth and innovation,” said Dr James Widmer, Co-Founder and CEO of Advanced Electric Machines. “Together, we can create high-quality powertrain solutions that cater to India’s growing need to reduce its tailpipe emissions, while also supporting the country’s self-reliance and sustainability goals.”
Dr Widmer added that the partnership results from several years of collaboration. “We have worked with SGEM to understand the Indian market and develop the local supply chain. We are now ready to hit the ground running and contribute to India’s quest for sustainability,” he said.