Budget 2026: Automakers urge support for EVs, green energy pathways
What's the story
Ahead of the Union Budget presentation on February 1, industry leaders have called for rationalizing duties on electric vehicles (EVs) and promoting local EV technology. They also want continued support for various green energy pathways in the automotive sector. Toyota Kirloskar Motor's Executive VP Vikram Gulati said they expect impactful reforms to boost ease of doing business and manufacturing localization in the upcoming budget.
Infrastructure focus
Industry leaders emphasize infrastructure development and green energy support
Gulati also stressed the need for continued government focus on infrastructure development and sustained support for multiple green energy pathways. He said these measures are crucial to achieving India's long-term goals of energy security and net-zero emissions. Anurag Mehrotra, MD of JSW MG Motor India, echoed this sentiment by calling for continued investment enablers in infrastructure as the logistics sector continues to contribute significantly to GDP.
Fiscal support
Auto industry calls for fiscal support and duty rationalization
Mehrotra also called for strong fiscal support to boost charging infrastructure, saying that while the network has grown, there is still a long way to go. He also welcomed the idea of duty rationalization on EV components and more support for localization of EV manufacturing. JK Tyre & Industries Chairman Raghupati Singhania said policy continuity that enhances affordability can sustain demand and create strong economic multiplier effects in the automotive and tire sectors.
Budget advocacy
Singhania advocates for investment-led budget and export support
Singhania also advocated for an investment-led budget to accelerate India's manufacturing growth and reinforce investor confidence. He is hopeful about a renewed focus on easing business operations through faster approvals and streamlined regulatory processes that can unlock private investment. He stressed the importance of continued focus on quality infrastructure and logistics in strengthening India's cost competitiveness and manufacturing efficiency amid evolving global trade challenges.