Sterling Tools Partners with UK's Advanced Electric Machines to Manufacture Magnet-Free Motors in India
May 14, 2025
Indian automotive component maker enters EV motor production through technology licensing agreement, addressing rare earth magnet supply chain concerns
Sterling Tools Limited has signed a technology licensing agreement with UK-based Advanced Electric Machines (AEM) to manufacture rare earth magnet-free traction motors for electric vehicles in India. The partnership, announced on May 14, 2025, will enable Sterling's subsidiary Sterling Gtake (SGEM) to produce these motors at its Faridabad plant.
The agreement aims to offer an alternative to the China-dependent permanent magnet supply chain while delivering motors with competitive performance characteristics. Sterling Tools plans to serve all segments of India's traction motors market, which is projected to reach approximately Rs 15,000 crore by 2030.
The partnership also includes plans for joint development of integrated motor and controller solutions, expanding Sterling's offerings beyond its current position as a market leader in Motor Control Units.
