Global Carmakers Eye India for EV Manufacturing Push

03 Jun 2025 CW Team

This renewed enthusiasm follows the formal issuance of guidelines for the “Scheme to Promote Manufacturing of Electric Passenger Cars in India,” first announced in March 2024. The application window for the scheme is set to open shortly, enabling eligible manufacturers to submit formal investment proposals.

Under the scheme, approved manufacturers will be permitted to import completely built units (CBUs) of electric four-wheelers with a minimum CIF (cost, insurance, and freight) value of USD 35,000 at a reduced customs duty of 15 per cent for a period of five years. Each approved applicant must commit to a minimum investment of Rs41.5 billion, with the total import duty benefit capped at the lower of Rs64.84 billion or the applicant's total investment.

Import quotas under the scheme will allow a maximum of 8,000 vehicles per year at the reduced duty rate, with provisions for carrying forward unused annual quotas.

While global manufacturers are keen to invest in setting up EV production lines in India, Tesla has declined to participate. According to Minister Kumaraswamy, the Elon Musk-led company has shown interest only in opening showrooms rather than manufacturing facilities in the country. “Tesla was involved in the initial stakeholder discussions but did not attend subsequent meetings,” the minister stated.

Tesla’s approach aligns with its earlier caution, as the company has raised concerns over import tariffs. Elon Musk had also postponed a planned visit to India in April 2024, citing scheduling conflicts. In contrast, his father, Errol Musk, arrived in India on 1 June for a personal and business visit, which included a stop at the Ayodhya Ram temple.

The Indian government hopes the scheme will position the country as a leading EV manufacturing destination, attract major foreign investment, and boost domestic employment while advancing the goals of the “Make in India” and green mobility initiatives.

Several global automotive giants, including Mercedes Benz, Skoda-Volkswagen, Hyundai, and Kia, have expressed strong interest in manufacturing electric vehicles (EVs) in India under the Government’s recently detailed incentive scheme. Union Minister for Heavy Industries H. D. Kumaraswamy made the announcement on Monday during a press briefing.This renewed enthusiasm follows the formal issuance of guidelines for the “Scheme to Promote Manufacturing of Electric Passenger Cars in India,” first announced in March 2024. The application window for the scheme is set to open shortly, enabling eligible manufacturers to submit formal investment proposals.Under the scheme, approved manufacturers will be permitted to import completely built units (CBUs) of electric four-wheelers with a minimum CIF (cost, insurance, and freight) value of USD 35,000 at a reduced customs duty of 15 per cent for a period of five years. Each approved applicant must commit to a minimum investment of Rs41.5 billion, with the total import duty benefit capped at the lower of Rs64.84 billion or the applicant's total investment.Import quotas under the scheme will allow a maximum of 8,000 vehicles per year at the reduced duty rate, with provisions for carrying forward unused annual quotas.While global manufacturers are keen to invest in setting up EV production lines in India, Tesla has declined to participate. According to Minister Kumaraswamy, the Elon Musk-led company has shown interest only in opening showrooms rather than manufacturing facilities in the country. “Tesla was involved in the initial stakeholder discussions but did not attend subsequent meetings,” the minister stated.Tesla’s approach aligns with its earlier caution, as the company has raised concerns over import tariffs. Elon Musk had also postponed a planned visit to India in April 2024, citing scheduling conflicts. In contrast, his father, Errol Musk, arrived in India on 1 June for a personal and business visit, which included a stop at the Ayodhya Ram temple.The Indian government hopes the scheme will position the country as a leading EV manufacturing destination, attract major foreign investment, and boost domestic employment while advancing the goals of the “Make in India” and green mobility initiatives.

Technology

29 Jul 2026

AI-Enabled Workflows Lift Profitability and Productivity

Organisations modernising frontline workflows with artificial intelligence, automation and real-time data are reporting stronger financial performance, higher productivity and improved employee engagement, according to a global study by Zebra Technologies and Oxford Economics.The research covered 1,000 senior leaders across retail, manufacturing, transportation and logistics in the US, Mexico, the UK, Germany, India, Japan, Australia and New Zealand.In transportation and logistics, 54 per cent of companies that improved picking and packing operations reported faster operational performance, wh..

Real Estate

29 Jul 2026

India Leads Global AI Readiness but Implementation Lags

Indian companies lead global averages across all eight artificial intelligence readiness indicators tracked by JLL, but only 19 per cent have started making changes to their workplaces, according to the JLL 2026 Future of Work Survey.The study found that 77 per cent of Indian business leaders expect AI to change their office requirements, creating a 58-percentage-point gap between awareness and implementation. The survey covered more than 2,200 CEOs, CFOs and real estate leaders across 21 countries during the first quarter of 2026.Despite concerns over automation, 58 per cent of Indian leaders..

Equipment

29 Jul 2026

Three WOLFF Cranes Build Riyadh Cable-Stayed Bridges

Three WOLFF 180 B luffing jib cranes are supporting the construction of two cable-stayed bridges alongside the existing Wadi Laban Bridge in Riyadh, Saudi Arabia. The project is being developed for the Royal Commission for Riyadh City and executed by the ICRC joint venture comprising IC Ictas and Al Rashid Trading & Contracting Company.The cranes are handling lifting operations including formwork, reinforcement, concrete placement, work platforms, surveying equipment and other construction materials. Each crane is fitted with a 40 m jib, reaches a hook height of 157 m and offers a maximum ..