Besides emphasis on electricity distribution reforms and measures for gig workers, the Budget 2025 puts the spotlight on national manufacturing mission to support clean tech, improve value addition in solar PV modules, electric vehicle batteries, high voltage transmission equipment, wind turbines and grid scale batteries. 
With China controlling much of the clean tech supply chain, the mission will combine with the PLI schemes for solar PV modules and batteries, aiding those in the field of backward integration and operations that are scaling up. 
Further scaling up the reach of ‘Make-in-India’ initiative, the Budget 2025 once again has brought into focus the MSME sector. It has been the worst hit by GST with thousands of units in any given industrial areas in cities like Pimpri-Chinchwad going belly up. Considered to provide employment to up to 70 percent in the manufacturing MSMEs have not only been unable to sustain financially, they have not been able to innovate or invest in advanced machinery/equipment and upskilling the way they should have been. 
They also seem to have lost out on their ability to export or sustain the margin pressures that come with supplying goods to suppliers up the ladder. This has led to many Tier 1  or Tier 2 suppliers and OEMs – particularly in the auto sector which contributes most to GST collection and the manufacturing GDP of the country – to look at sourcing from China by installing either permanently or temporarily their sourcing personnel or agents there. 
Perhaps taking such practices into account, the Budget 2025 has focused on MSME sector in terms of their upliftment as it would in-turn help them to drive employment led innovation, energy supplies and exports. 
The custom duty on Lithium-ion batteries has been reduced and tax has been exempted for cobalt powder. 
On the Income Tax front, the Finance Minister announced in her speech that a New Income Tax Bill will be tabled in the Parliament soon. This bill is expected to exempt tax on income till INR 12,00,000. There will be TDS relief offered to senior citizens. 
Until the New Income Tax Bill in tabled in the Parliament and passed, the old Income Tax regime will continue to be valid. 
 

Image for representative purpose only.

German luxury car brand Mercedes-Benz India has attained a new production milestone of rolling out its 200,000^th made-in-India car the EQS SUV, from its Chakan facility in Pune, Maharashtra.

The event was attended by Dr Joerg Burzer, Member of the Board of Management of Mercedes-Benz Group AG responsible for Production, Quality & Supply Chain Management, rolled out the 200,000th Mercedes-Benz in India in the presence of Santosh Iyer, Managing Director & CEO, Mercedes-Benz India and Vyankatesh Kulkarni, Executive Director & Head of Operations, Mercedes-Benz India.

It is important to note that Mercedes-Benz India was among the first luxury car brands to set-up production and assembly in India way back in 1994. The company clocked 50,000 units production milestone in 2014 taking a total of 19 years; the next 150,000 units came in a decade (2015-2025).

Interestingly, in the last two years, Mercedes-Benz India produced 50,000 cars, which the OEM stated demonstrates the rapid evolution of India's luxury car market and the increasing aspiration for the Mercedes-Benz brand among Indian customers.

The Chakan facility also boasts several notable distinctions, including being the first market to produce a Mercedes-Maybach (S500) outside Germany in 2015, production of the EQS 580 Sedan in 2022, localisation of a second BEV – EQS 580 SUV. Since 2022, the Chakan facility uses 100 percent green energy for production.

What’s more, Mercedes-Benz has invested over INR 30 billion in India till date with INR 2 billion in 2024 alone.

Dr Joerg Burzer, said, “Mercedes-Benz’s remarkable milestone of 200,000 'Made in India' Mercedes-Benz cars, underlines India’s potential as a key manufacturing hub in the long run. The Indian plant has achieved high level of production agility, manufacturing world-class ICE and EVs under one-roof, underscoring the technical prowess of the team and high level of flexible manufacturing, capable of responding fast to market and customer requirements. The Indian production hub's contribution to our global sustainable manufacturing strategy, through 100 percent renewable energy use, exemplifies our commitment to sustainable manufacturing.”

Santosh Iyer, added, "Mercedes-Benz production facility is the backbone of our Indian operations and has played a critical role in our market success, manufacturing world-class ICE and BEV products for the discerning Indian customers. Mercedes-Benz continues to set new standards in production quality, remaining invested in the market with highest investment by any luxury OEM in India. We will stay invested in our state-of-art manufacturing facility, catering to growing market demand for Mercedes-Benz products in the Indian market."

French tier 1 supplier Valeo is upping its bet on India’s electrification story and has inaugurated its newest facility in Pune, which will focus on the production of the highly integrated 3-in-1 Combo unit (On Board Charger, DC-DC Converter and Power Distribution Unit) for electric vehicles.

The 3-in-1 Combo combines three essential components:

• On-Board Charger, which converts AC power from the grid to charge the high-voltage battery (ranging from 7kW to 22kW).
• DC-DC Converter, which converts high-voltage power to 12V for auxiliary systems and low-voltage battery charging.
• Power Distribution Unit that efficiently distributes power to critical electric vehicle components, including traction and auxiliary loads.

This modular design enhances efficiency by optimizing component sharing between the battery, OBC, and DC-DC units, reducing space, weight and costs while improving overall performance.

The new facility was inaugurated by Xavier Dupont, Valeo Power Division CEO and Group Executive Vice President and Jayakumar G, Group President & Managing Director, Valeo India.

Xavier Dupont, said, “At Valeo, we are committed to supporting xEV growth in India. We offer our clients the latest technologies for safer and more sustainable mobility and by investing in new production capabilities, we are proud to contribute to Make in India. My congratulations and best wishes to the Valeo Power teams for their dedication to drive electrified mobility forward.”

Jayakumar G, stated, "This achievement reflects the strong collaboration between Valeo’s global and India teams in establishing these advanced manufacturing lines. I am pleased that our teams are trained in these new technologies and prepared for the production ramp-up. We sincerely thank our customers for their steadfast support. As India accelerates its xEV transformation, Valeo remains committed to delivering innovative solutions for a sustainable future."

The tier 1 stated that by localising key power electronic components, it will reduce import dependency, optimise supply chain and deliver cost-competitive solutions for OEMs for their EV programmes in India.

The tier 1 supplier has been present in India since 1997 and operates 8 production sites and R&D Centre, employing over 7,000 people across its facilities.

Pune-headquartered two-wheeler and three-wheeler major Bajaj Auto has announced its wholesales for March 2025 and FY2025.

For March, the company witnessed flat growth, selling a total of 369,823 vehicles, which was 1 percent higher YoY, compared to 365,904 units for the same period last year.

In contrast to two-wheeler sales, which were flat at 315,732 units (0.59 percent), the three-wheeler sales grew by 3.98 percent, primarily driven by an 11 percent increase in exports.

On the other hand, for FY2025, the company reported a robust growth of 6.9 percent, selling a total of 4.65 million vehicles, as compared to 4.35 million units last year.

The two-wheeler sales came to 3.98 million, up 6.82 percent YoY. This includes 2.30 million two-wheelers sold in the domestic market, up 2.5 percent YoY and 1.47 million units exported, up 13.3 percent YoY.

The three-wheeler sales came to 668,657 units, which was 7.3 percent higher as compared to 623,010 units sold last year. The domestic sales grew by 3.3 percent YoY, while exports grew at 19 percent YoY, respectively.

Swaraj Tractors partners Mahindra Susten to establish what it claims is Punjab’s largest solar group captive project – a 26 MW solar energy installation in the Bathinda district.

The initiative will supply renewable energy to four manufacturing locations of Swaraj Tractors, which will enable it to scale up the share of renewable energy in production to 50 percent. The project will generate approximately 60 million kWh of renewable energy annually, which will cut down about 54,600 tonnes of CO2 emissions.

Hemant Sikka, President, Farm Equipment Sector, Mahindra & Mahindra, said, “With this groundbreaking solar project, we are taking a pioneering step in introducing green energy at such a large scale in tractor manufacturing for the first time in India. The initiative aligns perfectly with our vision of ‘Transforming Farming and Enriching Lives’, while advancing toward a sustainable future.”

Gaganjot Singh, CEO, Swaraj Division, Mahindra & Mahindra, said, "This solar project is a testament to our unwavering commitment to creating a cleaner, greener future. By leveraging Mahindra Susten’s expertise, we are confident of achieving our renewable energy goals and making a significant contribution to Punjab's evolving energy landscape."

Deepak Thakur, Managing Director and CEO, Mahindra Susten, said, "At Mahindra Susten, our vision is to deliver clean and efficient energy solutions to the Commercial and Industrial (C&I) sector, and we are doing so by developing bespoke power plants tailored to optimally serve each C&I client requirements. We are proud to partner with Swaraj Tractors in their sustainability journey and to bring our renewable energy expertise to Punjab. Together, we aim to drive the adoption of green energy and contribute to India’s transition toward a renewable future."