New Delhi, April 6 (IANS) The rise in EV battery manufacturing, alongside the ‘Make in India’ initiative, will lower manufacturing costs and boost EV sales in the country, according to industry experts. According to Liz Lee, Associate Director at Counterpoint Research, India’s EV landscape is on the cusp of significant growth. “Government initiatives such as the PLI scheme for Advanced Chemistry Cells (ACC) and the recent reduction in import duties on EVs under $35,000 to 15 per cent are game changers,” said Lee. All this not only opens doors for Tesla but also signals India’s readiness to welcome significant investments and foster a new ecosystem for EVs and their component suppliers. “It is a clear sign that India’s journey to become a major player in the global EV market is accelerating,” Lee noted.
The EV ecosystem is in a fairly nascent stage. “While the conventional automobile manufacturing ecosystem is mature, the building blocks for a robust smart car manufacturing ecosystem, from the battery to infotainment to sensors to full ADAS/ADS, beckon,” said Research Vice President Neil Shah. “This would span from the likes of Qualcomm and MediaTek designing and offering advanced auto components to BlackBerry providing safety and security software, to Foxconn reducing barriers for new entrants to India with its innovative MIH consortium-based ‘localised’ design and manufacturing model,” Shah explained. This indicates a positive shift towards a more advanced and technology-driven automotive sector in India.
With the increasing focus on EV manufacturing and the support from government initiatives, India is set to become a major player in the global EV market. This growth not only benefits major players like Tesla but also encourages investments and partnerships in the country’s EV ecosystem. The reduction in import duties and incentives provided by the government are expected to drive the adoption of EVs in India and promote a sustainable and innovative automotive industry.
Industry experts believe that India’s EV sector is on the path to significant expansion, with advancements in technology and government support playing a crucial role. The establishment of a robust smart car manufacturing ecosystem, coupled with partnerships with leading technology companies, is paving the way for a more competitive and technologically advanced automotive industry in the country. As the EV landscape continues to evolve, India is poised to emerge as a key player in the global EV market, attracting investments and driving innovation in the sector.
