National Manufacturing Mission for EV, Solar, and Grid Equipment Announced in Budget 2025

In her presentation of the Union Budget 2025-26, Finance Minister Nirmala Sitharaman announced the National Manufacturing Mission as part of a broader initiative to boost domestic manufacturing and reduce reliance on imports in key sectors. The mission focuses on promoting the production of solar PV cells, EV batteries, motors and controllers, electrolysers, wind turbines, high-voltage transmission equipment, and grid-scale batteries. This move is in line with India’s efforts to strengthen self-reliance in clean energy and electric mobility.

Sitharaman said, “To advance the Make in India policy, the government will establish a National Manufacturing Mission that will encompass small, medium, and large industries. This mission will offer strategic policy support, detailed execution roadmaps, and robust governance and monitoring framework to guide both central ministries and state governments.”

The mission aims to strengthen the entire manufacturing ecosystem, from small and medium enterprises (SMEs) to large-scale industries. It will ensure robust policy support for investment, clear execution plans, and a well-structured monitoring framework. The initiative is expected to significantly enhance domestic value addition, particularly in key sectors such as solar energy, battery technology, and grid infrastructure.

Industry leaders have welcomed the initiative, citing its significance for the EV and renewable energy sectors. Pratik Kamdar, CEO & Co-Founder, Neuron Energy, said, “The Union Budget 2025’s announcements for the EV and auto sectors centre on raising the sector’s value and demand, which is a positive move. India’s effort to produce clean-tech energy will be accelerated as a result. A significant boost to the EV battery industry: the National Manufacturing Mission’s coverage of MSMEs represents a step forward in bolstering domestic EV battery production."