Leveraging Networks Built in Japan and China
In addition to expanding globally into Southeast Asia and other countries outside of China, HighChem is also actively growing its presence in Asia. India, with its increasing population and rapidly growing economy, is no exception.
The Indian government is driving a rapid transition of the automotive industry to electric vehicles (EVs), with a goal to have EVs account for over 30% of new car sales by 2030. In this context, Indian companies, which are seeking high-quality components for EVs and energy storage systems (ESS), have turned their attention to the networks that HighChem has built over many years in Japan and China.
HighChem’s Battery Materials Division is taking on the challenge of the vast Indian market. They have also hired their first employee from India and are collaborating with the newly established Global Business Development Division, which was set up in February 2024. The company continues to push forward with this challenge.
How will they enter the vast Indian market, which has its unique business practices? We asked the key members about their latest initiatives.
The Indian government is driving a rapid transition of the automotive industry to electric vehicles (EVs), with a goal to have EVs account for over 30% of new car sales by 2030. In this context, Indian companies, which are seeking high-quality components for EVs and energy storage systems (ESS), have turned their attention to the networks that HighChem has built over many years in Japan and China.
HighChem’s Battery Materials Division is taking on the challenge of the vast Indian market. They have also hired their first employee from India and are collaborating with the newly established Global Business Development Division, which was set up in February 2024. The company continues to push forward with this challenge.
How will they enter the vast Indian market, which has its unique business practices? We asked the key members about their latest initiatives.
From left: Wang, Section Manager of the Battery Materials Division, Development Department; Ishihara, Division Manager of the Global Business Development Division; Kitada, Division Manager of the Battery Materials Division; Kishore.
- A Massive Market Moving Toward EV Adoption—India’s Keen Interest in HighChem’s Network!
- Building the Supply Chain for the Indian Market with HighChem's Expertise in Lithium-ion Battery Components
- Employees with Extensive Experience in Battery Business in India Rapidly Expanding Sales Locally
- Bridging the Gap with Indian Business Culture: Hiring Immediate Talent from India
- India is a Treasure Trove of Business Opportunities—Consult HighChem for Market Entry
A Massive Market Moving Toward EV Adoption—India's Keen Interest in HighChem's Network!
── What is the background behind HighChem’s entry into the Indian battery market?
Kitada The turning point came around 2022 when we received numerous inquiries from Indian companies. The Indian government had announced a policy to advance domestic manufacturing of EVs as a key industry, rather than relying on imports. However, Indian EV companies still lacked the technological capabilities to source the necessary components for EV batteries within their own country. While searching for strong companies in this field, an American consulting firm, which had long-established networks with Japanese and Chinese companies, highlighted HighChem. Through the introduction of that consulting firm, we received consultations from many companies and conducted business negotiations in Tokyo and Shanghai.
Ishihara India, with a population exceeding 1.4 billion, is already the largest in the world and continues to grow. It ranks fifth in GDP globally. With a growth rate of 10.2% in fiscal year 2023, it remains a huge market with high economic growth. The Indian government has set an ambitious target to have over 30% of new car sales be EVs by 2030. While Chinese manufacturers, who dominate the global EV market, have yet to enter in significant numbers, the market remains a potential one for European and Japanese automakers, and competition has already begun. HighChem is fully leveraging its strengths to enter this market.
Building the Supply Chain for the Indian Market with HighChem's Expertise in Lithium-ion Battery Components
Ishihara: "HighChem is capable of supporting the establishment of a supply chain from raw materials to manufacturing equipment."
── How can HighChem’s areas of expertise be leveraged in the Indian EV market?
Ishihara It is in the battery components that are crucial for EVs and ESS. India aims to manufacture not only lithium-ion batteries but also the complete EV and ESS products domestically. We are looking to leverage HighChem’s strengths in the battery materials sector.
① One area is "materials" for cells. A cell is the basic unit that makes up a battery, and a collection of multiple cells forms a lithium-ion battery. For example, in the electrolyte used within a cell, we have a track record of supplying a variety of electrolyte solvents, including DMC and EMC. HighChem has a strong network in Japan, China, and Korea for the supply of many battery materials, including these electrolyte solvents, and we are able to access and introduce the optimal components that Indian companies are seeking, offering detailed suggestions.
② We also believe we can contribute to the manufacturing equipment for cells. Using our network, we can provide cost-effective, competitive products that meet quality standards. Additionally, we can offer technology licensing for the manufacturing know-how of battery materials developed by Japanese and Chinese companies. In fact, we have experience in licensing technology for electrolyte solvents to major state-owned Chinese enterprises.
As mentioned above, HighChem is capable of supporting the establishment of a supply chain from raw materials to the necessary manufacturing equipment in the key area of EV batteries.
Employees with Extensive Experience in Battery Business in India Rapidly Expanding Sales Locally
India Energy Storage Week 2024
── What kind of sales activities are currently taking place in India?
Ishihara We are already actively moving in India to seize this opportunity. I have been involved in the battery business in India for the past 10 years while working at a Japanese chemical company. I understand the movements of the local industry and am effectively utilizing the networks I have built over the years.
We are first identifying target Indian companies in different sectors such as EVs, two-wheelers, three-wheelers, and commercial and storage batteries. There are many companies in the fields of materials, cells, and battery packs, and we are identifying the specific products and technologies each company requires. It is also important to select Japanese, Chinese, and Korean partner companies for technical collaboration.
Currently, we are frequently traveling to India to approach local manufacturers and have already begun specific discussions. In July 2024, we will participate in local conferences and exhibitions. We are also urgently selecting agent candidates who can assist with local development and are likely to secure a capable agent soon. The Indian market is highly competitive, with companies from various countries fiercely competing. HighChem is rapidly advancing its business development to stay ahead of others.
Bridging the Gap with Indian Business Culture: Hiring Immediate Talent from India
── Are there any differences in business culture in India?
Wang The Indian market presents a huge opportunity, but India also has its own unique business culture, which can sometimes be perplexing. What I particularly feel is the difference in the speed of decision-making. For example, in China, negotiations with top-level executives often result in immediate contract decisions, and the deal progresses swiftly. However, in India, even if there is a positive response during negotiations, decisions are not made immediately. It takes time for careful comparisons with other companies’ products, and the impression is that it takes longer to reach a decision.
Additionally, while we are negotiating in English, it is common for the Indian side to speak in their own language among themselves, and we are often curious about what they are discussing. To overcome this, we decided to bring in an Indian team member to better understand Indian business manners and hired an immediate talent. The newly hired Kishore speaks six languages, including the local language, Japanese, and English. When negotiating with Indian companies, using Hindi, one of India's official languages, has been well received, and it has made it much easier to understand the other party's perspective. We are very much looking forward to Kishore's future contributions.
India is a Treasure Trove of Business Opportunities: Consult HighChem for Market Entry
Kitada: "HighChem will be the bridge between regions in India’s rapidly growing battery market."
Kitada The Indian EV market has a very broad base, with not only four-wheeled vehicles but also three-wheelers, which are widely used as taxis, and the demand for two-wheel motorcycles. The electrification of these vehicles is progressing simultaneously, and with a population of 1.4 billion, there is an expected need for a significant number of batteries for daily transportation.
In addition, batteries will also be used in agricultural machinery like tractors, construction equipment such as cranes, and robots used in factories. A large number of storage batteries will also be required to effectively utilize renewable energy sources such as wind and solar power.
As such, the demand for batteries and battery components in India is expected to grow significantly. HighChem aims to deliver robust services as the bridge between regions in the rapidly growing battery-related market in India.
Exclusive Interview with the Promising Immediate Talent from India
Kishore!
Kishore!
I was born and raised in Bengaluru (formerly Bangalore), a city in southern India known as the hub of India’s IT industry. While studying to become a mechanical engineer at university, I received an opportunity from a consulting company that introduced Indian talent to Japanese companies, and I came to Japan immediately after graduation.
I had other options for countries, but I have always admired Japan as a country with high technological capabilities. Also, my mother strongly requested that if I were to go abroad, it should be a country close to Bengaluru, safe, and with good security, so Japan was the only choice. I came to Japan, studied Japanese for one year in Kyushu, and then worked as a mechanical design engineer at a manufacturer in Osaka. Over time, I was entrusted not only with machine design but also with a project to develop the Indian market, and I came to enjoy the excitement of expanding business globally.
At that time, I saw a job posting from HighChem, seeking an engineer who could speak Hindi, and after applying and going through the interview process, I was hired. I have been working as a member of HighChem since 2024.
My impression of working at HighChem is that there is a high degree of freedom. My supervisor, Wang, clearly sets the goals and entrusts me with the process of achieving the results, so I feel trusted, and that motivates me. Also, the company has an open and supportive atmosphere, with many kind and tolerant people. I work in a stress-free environment, and I am having a very fulfilling time.
I aim to contribute to HighChem’s business in India while also growing personally.
Member Introduction
Battery Materials Division, Kitada, Division Manager
After working for over thirty years at a major chemical manufacturer and overseeing new energy-related businesses such as batteries, Kitada joined HighChem in 2022. He is the head of HighChem’s battery business, leading both existing battery materials and new ventures.
Global Business Development Division, Ishihara, Division Manager
Ishihara was involved in building global business alliances and standardizing product specifications at a major chemical manufacturer. He joined HighChem in February 2024 and became the head of the Global Business Development Division.
Battery Materials Division, Sales Department, Wang, Section Manager
Wang graduated from a university in China and joined HighChem as a new graduate. After joining, he worked on developing new businesses such as the semiconductor business. Currently, he leads new business development in the Sales Department of the Battery Materials Division.
Battery Materials Division, Sales Department, Kishore
Kishore is from Bengaluru, India. After graduating from university, he came to Japan for work. He worked as an engineer at a manufacturer in Osaka and joined HighChem in 2024.
