Gati Drives scales rare-earth-free motors for Indian appliance and HVAC OEMs
Ahmedabad-based Gati Drives has begun commercial production of locally sourced ferrite-magnet motors, following a Campus Fund-led pre-seed round. The company is targeting about 5,000 motors a month as it pitches an alternative to imported rare-earth motor systems.
What happened
Ahmedabad-based Gati Drives is scaling rare-earth-free motors for Indian appliance and HVAC OEMs. Following an undisclosed Campus Fund-led pre-seed round, it
Key facts
- Founded in 2023
- GD60 motor: 60 watts, 92%+ stated efficiency
- GD90 motor: 94% stated efficiency
- Motors developed up to 200 watts
- Pre-seed round announced 23 January 2026; amount undisclosed
- Ahmedabad plant capacity: about 5,000 motors per month
- Pilot production: 1,000-2,000 units per month
Why this matters
Gati Drives could be a strategic partnership or acquisition target for appliance, HVAC, and motor-system players seeking local sourcing and reduced rare-earth exposure in India.
What to watch
- Named OEM pilot wins converting into commercial purchase orders.
- Monthly output approaching or exceeding 5,000 units with stable rejection and warranty rates.
- BIS, BEE or application-specific efficiency certifications.
- Price movements in neodymium magnets, ferrite materials, copper and imported motor systems.
- Evidence of motor size, noise or efficiency trade-offs affecting OEM product design decisions.
- Follow-on funding for working capital, tooling and capacity expansion.
- Secure multi-year qualification and supply agreements with at least one major AC, refrigerator, fan or pump OEM.
- Publish independently validated efficiency, durability, noise and thermal-performance data against imported rare-earth motor alternatives.
- Build local supply contracts for ferrite magnets, laminations, copper and controllers to protect cost advantages.
- Expand production only after demand visibility improves, while investing in automated winding, testing and quality-control capacity.
- Target government procurement, energy-efficiency programs and OEM localization initiatives that favor domestic motor supply.