Sterling Tools Limited and UK’s Advanced Electric Machines to Manufacture Rare Earth Magnet-Free EV Motors in India!

Sterling Tools Limited (BSE: 530759, NSE: STERTOOLS), a leading manufacturer of automotive components and Motor Control Units (MCUs), has entered the electric vehicle (EV) motor segment through its subsidiary Sterling Gtake E-Mobility (SGEM). The company has signed a Technology Licensing Agreement with Advanced Electric Machines (AEM) Ltd., a UK-based company, to produce Rare Earth Magnet-Free traction motors for EVs in India.

Under the agreement, SGEM will manufacture AEM’s patented, magnet-free electric motors at its Faridabad facility. These advanced motors offer comparable or superior performance to traditional motors without the use of rare earth materials, significantly reducing reliance on global supply chains, especially those dependent on China. This move aligns with the Government of India’s Atmanirbhar Bharat and Make in India initiatives, supporting domestic production of sustainable EV technologies.

The collaboration focuses on providing a commercially viable alternative to magnet-based motors, which is a significant step toward strengthening India’s EV ecosystem and accelerating the country’s transition to sustainable mobility. The venture also paves the way for joint development of integrated motor and controller solutions to cater to the growing demand for compact, multifunctional EV powertrain systems.

The traction motor market in India is expected to grow significantly, with projections indicating it will reach ₹15,000 crore by 2030. This partnership positions SGEM to serve a diverse range of segments within the expanding market, offering a sustainable solution to meet the rising demand for EV powertrains.

Anil Aggarwal, Chairman of Sterling Tools Limited, highlighted the significance of this partnership, stating, “Our entry into Rare Earth Magnet-Free motor technology marks a significant step in Sterling Group’s journey towards becoming a full-fledged EV solutions provider. This partnership underlines our commitment to advancing local manufacturing, promoting self-reliance, and driving innovation in India’s automotive sector.”

Dr. James Widmer, Co-Founder and CEO of Advanced Electric Machines, emphasized the opportunity India presents for zero-emission technologies. He said, “Through our partnership with Sterling Tools, we are bringing sustainable, high-efficiency motor solutions to the Indian market. This collaboration not only addresses environmental goals but also contributes to building a resilient local supply chain. Our long-standing relationship with SGEM has enabled us to align our solutions with the unique needs of the Indian automotive landscape.”

Founded in 1979, Sterling Tools Limited is a prominent manufacturer of high-tensile cold-forged fasteners for the automotive and industrial sectors. The company serves OEMs across various segments, including passenger vehicles, two-wheelers, commercial vehicles, agricultural equipment, and construction machinery. Through its SGEM subsidiary, Sterling Tools has expanded into electric mobility, providing advanced EV components for both legacy and emerging OEMs.

Advanced Electric Machines (AEM), based in the United Kingdom, is committed to designing and producing sustainable electric vehicle motors. Originally a spin-out from Newcastle University, AEM combines expertise in materials science, manufacturing, and engineering design. With 46 international patents protecting its proprietary magnet-free motor technology, AEM ensures superior performance, sustainability, and cost-effectiveness across various vehicle applications.

This joint venture between Sterling Tools Limited and Advanced Electric Machines represents a significant milestone in India’s electric mobility journey. By producing Rare Earth Magnet-Free EV motors, this partnership not only supports India’s sustainability goals but also strengthens the country’s domestic manufacturing capabilities in the growing EV market. The collaboration is set to provide innovative, efficient, and eco-friendly solutions, contributing to the future of zero-emission transportation in India and beyond.