A
Breakthrough in Motor Technology
Bengaluru-based electric two-wheeler startup
Simple Energy has announced a major milestone in India’s EV industry: it has
become the first OEM in the country to commercially produce electric motors
that do not use heavy rare-earth elements. This is a landmark development, as the
traditional reliance on rare-earth magnets in EV motors has presented both
supply-chain vulnerabilities and high costs.
What Are
Rare‐Earth Elements & Why They Matter
Rare-earth elements (REEs) such as neodymium
and dysprosium are used in high-torque, compact electric motors because of
their magnetic properties. However, the majority of global supply (and
processing) of these materials is controlled by China. In April 2025, China
imposed export restrictions on some critical rare-earth materials, which
severely impacted automakers and EV manufacturers worldwide. The dependence on Chinese imports created a
strategic risk for India’s EV supply chain which
Simple Energy’s new motor technology directly addresses.
The
Technology: Rare-Earth-Free Motor Architecture
Simple Energy’s innovation is grounded in an
entirely in-house developed motor architecture. Instead of heavy rare‐earth
magnets, the motor uses “optimized compound” materials combined with
proprietary algorithms that manage heat and torque delivery in real time. The company claims that the performance (in
terms of torque and efficiency) is comparable to conventional motors that use
rare-earth magnets.
The manufacturing facility is located in
Hosur, Tamil Nadu, spanning about 200,000 sq ft. The company further claims ~95
% localisation across its manufacturing and supply-chain operations.
Strategic
Implications for India & EV Industry
This development has multiple strategic
implications:
Supply-Chain Resilience – By
eliminating dependence on heavy rare-earth materials and thus on imported
magnets, Simple Energy mitigates risks from export curbs or geopolitical
disruptions.
Cost Reduction & Localisation – Local
manufacturing of motors using alternate materials may reduce import costs and
enable more affordable EVs for Indian consumers.
Sustainability & ‘Make in India’-Push – The move
aligns with India’s ambition to localise EV manufacturing, reduce import
dependence, and strengthen domestic technology capabilities.
Competitive Advantage – In a
competitive EV market, motors with innovative materials and full localisation
may position Simple Energy favourably.
Implementation
& Product Impact
Simple Energy plans to use the new motors in
its existing scooter models such as the “Simple ONE Gen 1.5” (claimed range
~248 km) and “Simple One S” (~181 km). The fact that these motors are already in
commercial production rather than just being prototypes underscores the company’s pace and maturity.
According to the company’s co-founder &
CEO, Suhas Rajkumar, “Global supply-chain disruptions and material dependencies
have made one thing clear: the future of electric mobility must be built on
self-reliance.”
Challenges
& Future Outlook
While the development is promising, some
challenges remain:
Although performance claims are strong,
wide-scale durability, real-world testing under varied conditions, and
long-term reliability must still be proven.
The cost-benefit trade-offs of the alternate
materials and their supply-chain stability need monitoring.
Scale-up of manufacturing, and matching demand
across vehicles and variants, will be key.
Competing EV manufacturers (domestic or
global) may accelerate their own rare-earth-free strategies, raising
competitive pressures.
Nonetheless, the future outlook is positive:
implementing such technology could reduce the price of EVs, expand
localisation, and strengthen India’s position in EV manufacturing globally.
Conclusion
Simple Energy’s commercial manufacturing of
rare-earth-free motors marks a significant milestone for India’s EV industry.
By combining innovation, localisation and strategic independence, the company
is showing that high-performance EV components can be developed domestically
without reliance on geopolitically vulnerable materials. As EV adoption grows
in India, this breakthrough could help drive more affordable, sustainable, and
self-reliant mobility solutions not just for India, but potentially for export
markets too.
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