The Union Budget 2025 has been met with a positive response from industry leaders, particularly from the electric mobility, battery recycling, and manufacturing sectors. With key provisions aimed at boosting domestic manufacturing, supporting MSMEs, and fostering a sustainable economy, experts believe this year’s budget lays a strong foundation for India’s self-reliance and green energy transition.
Boost for Battery Recycling and EV Supply Chains
Mr. Rajesh Gupta, Founder & Director of Recyclekaro, welcomed the budget’s decisive steps in strengthening India’s battery recycling and manufacturing ecosystem. He highlighted the exemption of Basic Customs Duty (BCD) on critical minerals such as cobalt, lithium-ion battery scrap, lead, and zinc as a significant move that will enhance domestic resource availability and reduce import dependency.
“The exemption of BCD on crucial minerals will accelerate value addition within India, promoting investment in battery recycling and electric vehicle (EV) supply chains. This measure aligns with India’s vision for a circular economy, ensuring a more sustainable and self-sufficient future,” said Mr. Gupta. He also praised the inclusion of new capital goods for EV and mobile battery manufacturing, which he believes will further drive local production and job creation in the country.
Empowering MSMEs and Gig Workers
Mr. Maxson Lewis, Founder and CEO of Magenta Mobility, lauded the budget for its focus on strengthening India’s economy while addressing challenges faced by SMEs and gig workers. He emphasized the role of MSMEs as the backbone of the EV industry and commended the targeted incentives, skill development programs, and infrastructure support announced in the budget.
“This budget recognizes the importance of MSMEs by equipping them with the tools they need to scale and innovate. At the same time, the expansion of the E-Shram scheme is a much-needed win for gig workers, ensuring access to social security, fair wages, and better upskilling opportunities,” stated Mr. Lewis. He further noted that the budget’s emphasis on manufacturing—particularly in electronics and EV battery production—along with new investment incentives for startups, will drive India’s clean energy transition and innovation ecosystem.
Strengthening India’s Manufacturing and Mobility Sectors
Echoing similar sentiments, Mr. Nagesh Basavanhalli, Vice Chairman of Greaves Cotton Limited, commended the government’s National Manufacturing Mission for bolstering India’s position in mobility and energy. He highlighted the benefits of reduced import duties, expanded Production-Linked Incentive (PLI) schemes, and a dedicated push for EV research and development (R&D).
“We commend the government’s efforts in driving local manufacturing, cost efficiency, and innovation. The expanded PLI incentives and dedicated R&D initiatives will accelerate India’s transition toward sustainable transportation. Additionally, skilling initiatives and e-mobility expansion will create a future-ready workforce, reinforcing India’s path to self-reliance in multi-fuel and green mobility solutions,” said Mr. Basavanhalli.
A Step Towards a Sustainable and Competitive India
Industry leaders unanimously agree that the Union Budget 2025 is a progressive step towards making India a global leader in manufacturing, electric mobility, and sustainability. By incentivizing domestic production, supporting small businesses, and investing in workforce development, the government has reinforced its commitment to economic resilience and green energy solutions.With a strategic focus on clean energy, digital transformation, and entrepreneurship, experts believe that this budget is not just about fiscal planning—it is about empowering businesses, workers, and innovators to build a more sustainable and globally competitive India.
As the industry moves forward, experts anticipate that the measures introduced in the Union Budget 2025 will spur fresh investments and technological advancements across key sectors. The emphasis on self-reliance, job creation, and sustainability is expected to have long-term benefits, driving India’s economic growth and positioning it as a key player in the global green economy.Additionally, with government-backed initiatives supporting startups, MSMEs, and large-scale manufacturers, India is poised to leverage its talent pool and resources to innovate and lead in electric mobility, battery technology, and renewable energy solutions. Stakeholders remain optimistic that these policies will pave the way for a resilient and forward-thinking industrial landscape, shaping the nation’s future in a dynamic global economy.
The Union Budget 2025 reflects the government’s strong commitment to fostering sustainable growth and innovation across critical industries. By prioritizing battery recycling, EV manufacturing, and MSME development, the budget not only strengthens India’s industrial foundation but also enhances its global competitiveness in clean energy and mobility solutions. The strategic allocation of resources, coupled with tax incentives and infrastructure investments, signals a long-term vision of self-reliance and economic resilience. As industries align with these policy initiatives, India is poised to emerge as a leader in green technology and sustainable manufacturing, setting a precedent for responsible economic progress in the years to come.
