Sentiments to the Budget 2025
Bizmudra provides a summary of the reactions from Industry Leaders on the policies stated in the Union Budget 2024-25
Mr. Vinod Aggarwal, MD & CEO, VE Commercial Vehicles
"The introduction of the National Manufacturing Mission and the emphasis on Clean Tech Manufacturing, including National Critical Minerals Mission, particularly for EV batteries, motors, controllers, and high-voltage transmission equipment, will provide a significant boost to ‘Make in India’ efforts. The duty exemption on capital goods for EV battery manufacturing is a welcome step toward accelerating India's electric mobility transition. Furthermore, adjustments in GST rates, incentives for electric vehicle adoption and import duties on components will reshape the industry’s landscape."
Mr. Jyoti Malhotra, Managing Director, Volvo Car India,
"The Union Budget 2025-26 appears to be focused on stimulating consumer spending and fostering economic growth. Measures such as tax rationalisation aim to increase disposable income and boost consumption. The government's commitment to maintaining capital expenditure without raising taxes is a positive step. Overall, the budget seems to be forward-looking and focused on sustainable economic development.”
Mr. Uday Narang, Founder and Chairman, Omega Seiki Pvt. Ltd.
"The Union Budget 2025-26 has taken a commendable step towards strengthening India’s manufacturing ecosystem by removing the Basic Customs Duty (BCD) on critical materials such as cobalt, lithium-ion battery scrap, and lead. These materials are essential for the production of lithium batteries, which are the backbone of the electric vehicle and clean energy industries. By eliminating these duties, the government is not only reducing the cost of production for manufacturers but also accelerating the transition towards more affordable and sustainable technologies."
Mr. Raghupati Singhania, Chairman & MD, JK Tyre & Industries
"The Union Budget 2025-26 lays a strong foundation for India's continued economic resilience and manufacturing excellence. Thrust on green energy transition, manufacturing and ease of doing business will propel the automotive and tyre industries forward. Emphasis on clean tech manufacturing, with incentives for EV components and advanced mobility solutions, aligns well with the automotive sector’s vision for sustainability. Additionally, the measures to strengthen global supply chain integration and streamline trade regulations will bolster India’s global manufacturing competitiveness."
Mr Shailesh Chandra, President, SIAM
" As the Auto Industry transits into cleaner powertrains, in line with the Hon’ble PM’s vision on sustainable mobility, it will specifically benefit from the National Manufacturing Mission, which supports clean tech manufacturing for batteries, motors and controllers. Furthermore, the exemption of critical minerals (e.g. Cobalt, Lead, Zinc etc.), scraps of Lithium-ion battery, and 35 additional capital goods from customs duty will help create a strong EV ecosystem in the country."
Anirudh Bhuwalka, CEO of Blue Energy Motors
“The Union Budget 2025-26 reaffirms the government’s strong commitment to sustainable transportation and the rapid advancement of electric vehicles (EVs) in India. The proposed reforms—ranging from enhanced financial support and tax incentives to substantial investments in EV infrastructure and battery manufacturing—are set to make electric mobility more accessible, affordable, and scalable. These initiatives align seamlessly with our vision at Blue Energy Motors and further reinforce our recent investment in Maharashtra to establish a cutting-edge electric truck manufacturing facility."
Mr. Masood Mallick, Managing Director & CEO, Re Sustainability Limited (ReSL)
The removal of custom duty on waste and scrap from critical minerals, including Antimony, Beryllium, Cobalt, and Lithium-Ion batteries, aims to boost recycling and enhance use of circular minerals in manufacturing. A policy for the recovery of critical minerals the tailings or by-products of mining can also emerge as a significant enabler for India's transition to a more circular economy. These measures have the potential to significantly accelerate our sustainability and circular economy journey, towards our shared goal of a Viksit Bharat by 2047.
Mr. Sunjay J Kapur, Chairman of Sona Comstar and Deputy Chairman, CII Northern Region
“The Union Budget 2025 lays a strong foundation for sustainable urban growth, infrastructure modernisation and a thriving investment climate. The National Manufacturing Mission under Make in India will create a robust framework for industries across solar PV, electrolysers, and grid-scale batteries. The expanded ₹10,000 crore Fund of Funds will provide a vital boost to startups, driving innovation and entrepreneurship. The ₹1 lakh crore Urban Challenge Fund and enhanced infrastructure support will catalyse economic activity and improve liveability in cities. Initiatives like Atal Tinkering Labs, National Centres of Excellence, and IIT expansion will equip India’s youth with future-ready skills."
Mr. Yatin Gupte, Chairman & Managing Director of Wardwizard Innovations & Mobility Ltd,
" We welcome the policies stated in Union Budget 2025-26 by the Hon’ble Finance Minister, which gives a strong push towards EV adoption, accelerating the development of India’s electric vehicle ecosystem. The introduction of a national manufacturing mission for clean tech industries is another commendable move. The recognition of MSMEs as the ‘2nd engine’ of economic growth in the Union Budget 2025 will boost sectoral confidence. The fiscal policies stated to support MSMEs will have a multiplier effect on various sectors, including accelerating India’s e-mobility revolution."
Further details on the Budget and the speech are available here
