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.

The auto wholesales for February 2025 are out, and the industry has posted numbers in the red. The latest automotive wholesales data from the Society of Indian Automobile Manufacturers (SIAM) for February showed that a total of 1.82 million units were sold last month, which was 7 percent lower as compared to 1.94 million units sold for the same period last year and 8 percent lower than that of January 2025 sales.

The de-growth was primarily driven by a slowdown in sales of two-wheelers, especially motorcycles, which dropped by 13 percent YoY.

In the passenger vehicle space, SUVs continued to drive demand, registering a healthy growth of 9 percent with sales coming at 208,795 units, compared to 191,435 units a year ago. Passenger cars, on the other hand, reported sales of 110,966 units, which was 4 percent lower compared to the same period last year.

Three-wheeler sales came to 57,788 units, which was 5 percent higher compared to 55,175 units sold last year. The sales were driven by passenger carriers and goods carriers in the Internal Combustion Engine (ICE) segment, as compared to a negative growth witnessed by the E-rickshaw and E-cart segment.

Going forward, all eyes are on the Holi and the Ugadi festivals, which is expected to provide a positive fillip to the monthly sales.

Rajesh Menon, Director General, SIAM, stated that the “Upcoming festivities of Holi and Ugadi in March is likely to continue to drive demand, thereby closing FY 2024-25 on a reasonably positive note."

Montra Electric’s e-SCV division, TIVOLT Electric Vehicles Private Limited has inaugurated its dedicated manufacturing plant for electric small commercial vehicles (e-SCV) in Ponneri, Chennai.

The facility, inaugurated by Arun Murugappan, Executive Chairman, Tube Investments of India Limited (TII) in the presence of Jalaj Gupta, Managing Director, TI Clean Mobility Private Limited (TICMPL) and Saju Nair, CEO, Tivolt Electric vehicles Private Limited, is spread across approximately five lakh square feet.

It has an annual production capacity of 50,000 vehicles, catering to the Small and Light Commercial Vehicle (SCV/LCV) segments.

Strategically located near the Kolkata highway, just 35 km from Chennai city, the plant is designed to efficiently serve the growing demand for sustainable transportation solutions in India. The integrated workplace fosters a collaborative ‘one team’ culture to drive innovation and operational excellence.

Commenting on the development, Murugappan, said, “TICMPL is proud to inaugurate its first dedicated e-SCV plant in Tamil Nadu. We remain committed to innovative and sustainable clean mobility solutions. Montra Electric has been at the forefront of India’s EV transformation, and this plant marks a significant step forward in our journey. As we prepare for the future, we are determined to contribute meaningfully to India’s goal of achieving net zero carbon emissions by 2070.”

Gupta averred, “We are thrilled to inaugurate this state-of-the-art plant in Ponneri. This facility is a testament to our vision of delivering cutting-edge, high-performance e-SCV. The launch of this plant not only strengthens our production capabilities but also reinforces our commitment to providing industry-leading EV solutions.”

The newly inaugurated plant will primarily manufacture EVIATOR, Montra Electric’s latest breakthrough in the e-SCV segment. EVIATOR sets new benchmarks with an industry-leading certified range of 245 km and a real-life range of 170 km. It boasts the highest power output in its category at 80 kW and an impressive torque of 300 Nm. The vehicle comes with an extended warranty of up to seven years or 2.5 lakh km, ensuring reliability and longevity. EVIATOR is further equipped with advanced telematics, delivering over 95 percent fleet uptime.

The foundation stone for four manufacturing units was laid today by Ashwini Vaishnaw, Union Minister for Railways, Electronics, IT and Information & Broadcasting, at the Electronics Manufacturing Cluster in Divitipally, Mahabubnagar Dsitrict, Telangana. The Electronics Manufacturing Cluster in Divitipally was set up under the EMC-2.0 Scheme by the Telangana Government to promote electronics manufacturing in the state.

As part of the event, Amara Raja laid the foundation stone for its upcoming Giga Factory-1, while Altmin laid the foundation stone for its first LFP-CAM Giga Factory, Lohum held the groundbreaking ceremony for its battery recycling and critical minerals refining and Scell Energy held the groundbreaking ceremony for its cell casing manufacturing.

The Honourable Minister of Information Technology, Electronics, Industries, and Commerce, Legislative Affairs in the Telangana Government, D Sridhar Babu, the Honourable Member of Parliament from Mahbubnagar Constituency, Aruna D K, and the Legislative Assembly Member, Y Srinivas Reddy, graced the occasion. Jayadev Galla, the Chairman and Managing Director of Amara Raja Energy and Mobility Ltd, was also in attendance, as were senior state government officials and business executives.

In 2022, ARACT and the Telangana Government signed a Memorandum of Understanding to establish the Amara Raja Giga Corridor, wherein the business will establish facilities for the production of lithium cells and battery packs with capacities of up to 16 GWh and 5GWh, respectively, for both the Indian and foreign markets. The project is anticipated to significantly contribute to the socioeconomic growth of the area once it is operational, providing 4,500 direct jobs and a comparable number of indirect jobs in the state.

"The battery technology is as essential for India’s economy as steel and chemical, and It is heartening to see Amara Raja taking a lead in this space. The Union government is committed to the all-round growth of the sector and Divitipally region and will contribute further through modernisation of railway station and establishing allied infrastructure. The Centre has committed over INR 50 billion for State’s railway development,” said the Union Minister.

"Telangana is committed to be the Industrial hub and has been a leader in adopting sustainability. The state government is committed to extending support to manufacturing initiatives such as these, and we look forward to Giga Factory’s inauguration,” said the State Minister.

Galla said, "The Foundation Stone laying ceremony is a big step forward for our Company and the Group. We are grateful to the Government of India under the leadership of Prime Minister Narendra Modi and to the Hon’ble Minister Ashwini Vaishnaw for being proactive and pro-industry. We are also thankful to the Telangana Government under the leadership of Chief Minister Revanth Reddy and State Minister D Sridhar Babu for their tremendous support and encouragement in this endeavour. As we step forward, we are looking to be amongst the first companies in India to present an indigenously manufactured Lithium-Ion cell to the nation.”

Mercedes-Benz India has signed a Memorandum of Understanding (MoU) with the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, Government of India, to foster innovation, sustainability, societal development and entrepreneurship within India’s startup ecosystem. 
This collaboration is aimed at accelerating the development of product startups, innovators and entrepreneurs, reinforcing Mercedes-Benz India’s commitment to driving positive societal impact through technology and sustainability. 
It also aligns with the Government of India's vision to support the entrepreneurial ecosystem, with a particular focus on overall societal development, road safety and environmental sustainability. Under the MoU, Mercedes-Benz India will work closely with DPIIT to provide startups with crucial infrastructure, mentorship, funding access and market linkages. 
Commenting on the collaboration with Mercedes-Benz, Shri Sanjiv, Joint Secretary, Department for Promotion of Industry and Internal Trade (DPIIT), Government of India, stated "We are excited to have Mercedes India on-board our drive under the Startup India initiative encouraging corporates to collaborate with startups. This MoU paves the way for groundbreaking collaboration where Mercedes’s global expertise, legacy of innovation and high-tech resources will empower our startups to drive technological advancements, sustainability, and mobility solutions for the future. We look forward to seeing our startups leverage this collaboration to develop world-class solutions that redefine industries and create lasting impact."