A quiet revolution was taking place on India's roads in 1983. On December 14, the Maruti 800 was rolled out, offering an internal combustion engine (ICE) vehicle at an affordable price to middle-class households. The small car with big dreams paved the way for mass adoption of ICE vehicles and changed the dynamics of the auto industry.
More than 40 years later, the government is planning a second coming in the automobile sectorthis time through the mass adoption of electric vehicles (EVs). Part of this strategy is 30@30, which aims at a 30% share of EVs in new sales by 2030. Automakers are already moving towards electrification; several have announced phase-out dates for ICE vehicles.
In India, Suzuki expects 15% of its sales to come from EVs by 2030. Tata Motors plans to achieve 50% sales from EVs, globally, by the same year. At a convention of the Society of Indian Automobile Manufacturers (SIAM) in September, Union transport minister Nitin Gadkari said the EV market will have 1 crore annual sales by 2030. But a number of hurdles have to be crossed to meet this ambitious target.
Facing an Obstacle Course
Among other initiatives, the Atmanirbhar Bharat Abhiyaan announced in 2020 includes a vision for energy independence by 2047.
The government also launched a production-linked incentive (PLI) scheme to boost EV manufacturing and approved an EV manufacturing scheme in March 2024 to give impetus to its Make in India initiative.
The plethora of schemes aside, the EV sector is still some way off from becoming "atmanirbhar". Supply of raw materials, technology and import dependence, particularly on China, have been consistently rising. A Global Trade Research Initiative (GTRI) report warns that China's automobile industry, buoyed by substantial state support, has rapidly advanced in EV technology, making it a leading exporter of EVs and related components.
This story is from the November 2024 edition of Outlook Business.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the November 2024 edition of Outlook Business.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
'Automation is Redefining Efficiency and Precision in Jewellery Manufacturing'
Increasing brand consciousness and awareness among consumers is helping expand the organised jewellery retail industry. MP Ahammed, chairman of Malabar Group, discusses prominent trends in the jewellery industry
BATTLE TO WIN THE AI RACE
In Supremacy, Parmy Olson tells the astonishing and behind-the-scenes story of the battle between the world’s two leading artificial intelligence firms, OpenAl and DeepMind and the continuing rivalry of its founders Sam Altman and Demis Hassabis respectively
A LEADER WHO EMPOWERS
Anshul Arzare, MD and CEO of YES SECURITIES, wants to ensure a workplace where employees not only contribute to the company's vision but also feel content
EV Unplugged
Electric vehicles are crucial to India’s climate change plan. But reliance on China for imports and technology constraints remain hurdles the sector needs to overcome
Every Lamborghini Owner is a Brand Ambassador
Regional director of Automobili Lamborghini, Francesco Scardaoni, talks to Prachi Khanna about the brand’s approach to fostering a sense of community among its vehicle owners. Edited excerpts
NO ZEST FOR ZED
A government initiative to green MSMEs is not finding enough takers
SMALL PLANTS, BIG TROUBLE
Climate-triggered stress is placing an unprecedented burden on small businesses. But a lack of access to climate aid hinders the sector's ability to adopt greener methods
'We Think About the Rider More Than Any Other Company
Rapido co-founder Aravind Sanka talks to Neeraj Thakur and Deepsekhar Choudhury about how flexibility and fair pay helped his company disrupt the Ola-Uber duopoly. Edited excerpts
LABOUR PANGS
Rising cost of living in a fast-growing economy is making workers restless
'Hustle is No Virtue'
It has become fashionable to talk about the verb “hustle” these days, especially in professional settings.
