While presenting the Union Budget today, Finance Minister Nirmala Sitharaman announced a new battery swapping technology in India and steps to boost the adoption of electric vehicles in India. The industry leaders generally welcomed the budget. Following are the reactions to the newly announced Budget from industry bodies and organisations.

FADA Welcomes Govt Efforts 

Vinkesh Gulati, President, FADA, said, “Union Budget 2022 seeks to lay the foundation for the next 25 years, from India@75 to India@100. With PM’s ‘Gati Shakti National Master Plan’, a INR 100-lakh crore project for building comprehensive infrastructure in India, it will be a significant step towards development. The budget has attempted to focus on each of the sectors and has also tried to stimulate the economy after the pandemic slowdown. FADA welcomes and supports the government's efforts and initiatives towards Electric Mobility. There is a clear emphasis on creative, sustainable and innovative business models. Battery Swapping & Energy as a Service (EAAS) will surely help accelerate the transition towards Clean Mobility. The development of special mobility zones for electric vehicles and promoting clean technology for public transport validate government commitment to E-mobility, which would boost confidence in the EV industry in terms of manufacturing, sales, and create a sense of assurance among customers. The government's plans for developing 25,000 kilometers of new highways will result in a push for infrastructure spending, which will result in an increase in Commercial Vehicle sales, as well as an addition of 2,000 kilometers of road under a new scheme known as 'Kavach' will be an additional benefit to the revival of this segment. With the extension of the ECLG scheme, it is a remarkable move by the government to support the MSME sector coming out of the slowdown caused by pandemics.” 

Gulati added, “The rural India has generally been the key driver for entry level passenger vehicle segment and two-wheeler space. With government plans on INR 2.3 lakh crore direct payment as MSP to farmers, it will work as a booster for two-wheeler, tractor and entry-level PV sector sales. However, an additional duty of rupees 2/ litre on unblended fuel from October 2022 could play a spoilsport for the already stressed 2W industry.” 

Budget Boosts EV Industry 

Sohinder Gill, Director General, Society of Manufacturers of Electric Vehicles (SMEV), said, “We welcome the measures announced by the honourable Finance Minister, today. The budget for 2022–23 gives a huge impetus to the electric vehicle (EV) industry. Introducing the battery swapping policy and recognising battery or energy as a service will help to develop EV infrastructure and increase the use of EVs in public transportation. It would motivate businesses engaged in delivery and ride aggregation businesses to incorporate EVs into their fleet. It will create new avenues for companies to venture into the business of battery swapping. Additionally, creating special clean zones will further accelerate the adoption of EVs and spread awareness amongst the citizens. The move will benefit the whole segment, i.e E2W, E3W, E-cars, and buses. The budget also provides attention to the need for skilled resources in the industry. Introducing new skill programs in ITI will bridge the skill gap that currently exists in the industry. The industry would be happy to work with the government to devise customized courses to meet the demands of the EV industry. Overall, the budget aims at strengthening the whole ecosystem of the EV industry, which will spur the demand for green vehicles.”

Additional Opportunities 

P B Balaji, Group CFO, Tata Motors, said, “Budget 2022 is an articulation of purposeful intent enabled by a clear action plan. Building on the excellent budget of last year, the government has wisely continued on the path of prioritising economic growth with calibrated fiscal prudence. For the Indian automobile sector, which is a significant contributor to the nation’s GDP, the budget offers continuity and also additional opportunities to drive multi-year growth. Specifically, the robust increase in capex by 35.4 percent to INR 7.5 lakh crore and a comprehensive investment plan for infrastructure is a significant growth booster. Additionally, the launch of the well-conceived PM Gati Shakti program for multi-modal transport including 100 cargo terminals and investments in 25000Kms of highways, apart from investments in ports and metros is an excellent development that will help create a world-class transport infrastructure in the country. This will reduce logistics costs and transit times, increase employment and make us globally competitive with avenues for better and efficient mobility solutions. Additionally, plans to create EV charging infrastructure including national policy for battery swapping which when combined with the already announced Automotive PLI scheme, furthers the agenda for green mobility. Tata Motors welcomes this balanced, thought through budget.” 

Bolster Electric Mobility

Rajesh Jejurikar, Executive Director, Auto & Farm Sectors, Mahindra and Mahindra Ltd, said, “The roadmap laid out to usher in sustainable mobility by the honourable Finance Minister in the Union Budget 2022-23 will bolster the electric mobility adoption in India. Battery swapping can offer a practical alternative to increase adoption of electric vehicles. As part of our Last Mile Mobility, we look forward to working with the government, policymakers and our partners to formulate and implement the battery swapping policy. This will include introducing interoperability standards as well as driving innovation in Battery as a Service business models.”  

Huge Impetus on Rural Growth

Nagesh Basavanhalli, Group CEO and MD, Greaves Cotton Limited, “The Union Budget 2022 has some important announcements to accelerate economic growth by focusing on 4 core pillars of productivity, climate action, financing investment and PM Gati Shakti Programme which will help strengthen our infrastructure and MSME sector. The expansion of the National Highway network will provide better connectivity to our towns and cities and strengthen the supply chain network. Overall huge impetus on rural growth through various schemes and technological intervention will help create more rural jobs and thereby create more demand from rural and semi-urban areas. The production linked incentives in several sectors announced by the government will help create more employment opportunities for the people. 

Basavanhalli added, “Digital ecosystem for skilling and livelihood through online training is a step in the right direction as this is a critical need of the hour by the industry. From the auto and EV sector's point of view, the battery swapping policy will boost the adoption of EV. Further, the government’s move to encourage the private sector’s involvement to create sustainable and innovative business models for battery and energy as a service, too, will be a game-changer for the growth of the entire EV ecosystem of the country.”  

Invest in India 

Ujjwal Jain, CEO and Founder, WealtDesk, “The government continued with a growth-oriented budget and took charge from the front. This can be seen by the 35.4 percent increase in CAPEX while maintaining a manageable fiscal deficit and very conservative tax revenue targets. Make in India continues to get the push - to boost defence innovation, 68 per cent of the capital procurement budget in defence will be earmarked for the domestic industry in 2022-23. The Unified Logistics Interface Platform (ULIP) was also announced in the budget speech, which will enhance efficiency and reduce logistics costs in the country. The other highlight was the 30 percent tax on Virtual Digital Assets with no set-offs and TDS of 1 percent. Bringing the Virtual Digital Assets into the tax net is a smart move with a forward-looking approach. The finance minister also announced the creation of a digital currency by the RBI. The government will form an expert panel to attract and encourage PE/VC investments. The panel will help identify the appropriate measures to increase investments and establish friendly policies for investors bringing foreign capital to Indian startups. This move can help reduce risks faced by foreign investors when investing in Indian startups. In all, the key takeaway from the budget can be "Invest in India".  

Futuristic Budget 

Sulajja Firodia Motwani, Founder and CEO, Kinetic Green, said, “Budget 2022 is a futuristic budget with focus on deployment of advanced technology like EV, green mobility and digitisation. The Budget 2022 announced by Hon’ble Finance Minister today is positive for the Electric Vehicle sector, which reinforced the Indian Government’s commitment to accelerating EV and green mobility eco-system in India. FM has announced that to foster the creation of electric vehicle ecosystem, a battery swapping policy will be devised. In order to scale up battery stations, a battery swapping policy will be brought out with inter-operability standards. There is an announcement on shift to use of public transport in urban areas by clean tech and with special e-mobility zones. Green Energy & Clean Mobility systems have immense potential to assist sustainable development & modernise the country. This will further enhance connectivity and digitization of the auto sector and is expected to help automotive in a greater way. The Minister also emphasized that private sector will be encouraged to develop sustainable and innovative models for battery and energy as a service which will increase efficiency in EV ecosystem. I am confident that this move will encourage manufacturers to enhance investments in this sector. Further announcements such as ramp up of capital expenditure and spending on infrastructure will boost economic growth. It is a futuristic budget with focus on the greening of economy and digital technology. We welcome this budget and appreciate Government’s steps to promote electric vehicles and tackle pollution in our cities.”

Growth-oriented Budget 

Suyash Gupta, Director General, Indian Auto LPG Coalition, said: ''With India remaining the best-performing economy among the larger economies as duly highlighted by the budget, the budget has stayed the course in terms of remaining a growth-oriented one. In terms of promotion of cleaner mobility, while the government’s intent to encourage battery swapping technology with an eye on galvanizing electric mobility is appreciated, it still remains to be seen what more is there in the fine print for promotion of cleaner alternative fuels. At the same time, the provision for sovereign green bonds with the aim of reducing the carbon intensity of the economy must be appreciated. Also, the encouragement of agroforestry, the extension of PLI schemes to the manufacturing of solar PV modules will further help in pursuing a more carbon-free economic pathway for the country. It must also be added that the increase of excise on unblended fuel will also help to some extent in achieving cleaner mobility. However, the bigger picture with regard to air quality has been missed. Electric is a while away. What does the country do in the interim? Low hanging fruits like Auto LPG need to be acknowledged, which could bring immediate relief to the urban air pollution.'' 

Forward-looking Budget 

Parag Satpute, Managing Director, Bridgestone India, said, “This is a forward-looking budget that focuses on not only the economic health of the country but also takes into account physical and mental health. This is indeed a major milestone in India. The PM Gati Shakti plan and the corresponding announcement of additional 25, 000 km of roads will spur growth in the mobility sector. The government’s initiative on electric vehicles and the announcement on a battery swapping policy is a major boost to the nascent EV sector and will boost customer confidence in EVs.”

Intention to Revive Travel Industry 

Manish Rathi, CEO & Co-founder, IntrCity, said, "We welcome the government's commitment to expanding the national highway network by 25,000 kilometres this fiscal year. The Finance Minister needs to be complimented for her vision to usher 9.2 percent economic growth. This is very much possible in view of the allocation of INR 20,000 crores to the National Highway System. This shows the government's intention to revive and transform the beleaguered travel and transport industry. We endorse the GOI's aim to improve road connectivity by redesigning the roads in hilly areas under the Parvat Mala initiative, which will improve connectivity for commuters. The government seems inclined to strengthen and support public transport infrastructure in urban areas and allocate funds through low-interest loans to small travel operators; this is a good sign. These would help us expand our SmartBus fleet's presence deep inside India's heart and provide comfortable, convenient, and safe mobility solutions in Tier 2 and Tier 3 cities." 

Progressive Budget 

Suresh KV, President and Regional Head, ZF India, said, “Union budget 2022 is progressive and with the continuous support of the government we are optimistic that the industry will soon return to the path of growth in 2022. The announcement of allocation of INR 20,000 crores for infrastructure projects and the announcement of 25,000 kms of additional National Highway network during FY 22-23, is a much welcome move. This will have a positive impact on the transportation industry and the auto sector, at large. The Government focus on green mobility was evident and the special new battery swapping policy for the EV infrastructure will boost the EV ecosystem and lead to faster adoption. The special focus towards clean technologies and electric vehicles for public transport will positively impact companies manufacturing and supplying technology to electric buses and commercial vehicles. The move to boost the rural economy with the announcement of MSP payment of INR 2.73 lakh crores coupled with other benefits, will aid the farming sector and is bound to enhance the rural economy and sentiments. The
concessional corporate tax of 15 percent for more than one year till March 2024 will provide the much-needed impetus for the Covid impacted manufacturing segment. This is further bolstered by the eagerly anticipated re-look at the SEZ act, which will boost the competitiveness of the Indian manufacturers. Overall, the budget 2022 has several measures that are likely to create a positive impact on the Indian auto sector that has been gravely hit by the COVID 19 pandemic, and we at ZF in India welcome this”. (MT) 

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German luxury automotive brand BMW India has introduced the updated BMW 7 Series range, offering petrol and battery-electric powertrains across the lineup at prices starting at INR 19.5 million (ex-showroom).

The launch includes the BMW i7 M70 xDrive performance model, alongside the local production launch of the electric i7 at the BMW Group Plant in Chennai.

With local assembly of the i7 in Chennai, India becomes the second country after Germany to produce the electric model locally. The performance-focused i7 M70 xDrive will be imported into the country as a completely built-up unit (CBU) with deliveries across the 7 Series portfolio scheduled to begin in October 2026.

Furthermore, the company also introduced actor Ranveer Singh as the Brand Voice for BMW India at the launch.

Pricing for the petrol-powered 740 M Sport and all-electric i7 eDrive50 xDrive M Sport starts at INR 19.5 million, while the flagship i7 M70 xDrive is positioned at INR 26.5 million (all ex-showroom).

Hardeep Singh Brar, President and CEO of BMW Group India, said: "The new BMW 7 Series is more than our flagship sedan - it is our ultimate statement of modern luxury. It moves the leaders, changemakers and visionaries who are shaping tomorrow. Every detail has been crafted around one idea: those who have reached the pinnacle deserve an experience to match. The new 7 Series sets a benchmark, whether you choose to take the wheel or be driven. It is the new face of the BMW Luxury Class, while offering an early glimpse into technologies that will shape the Neue Klasse era. And with our Power of Choice philosophy, customers can choose from dynamic combustion engines to advanced electric mobility. Because true luxury is not about limiting choices - it is about expanding them. With the new 7, luxury doesn’t end with the drive; it begins there."

"The new BMW i7 M70 xDrive is the most powerful 7 Series ever created - where M performance meets first-class luxury, without compromise. It brings together exhilarating electric performance and the refinement expected from the pinnacle of the BMW portfolio. This is a car for someone who wants the thrill of taking the wheel and, equally, the luxury of being driven. Few cars can make the driver’s seat and the rear seat equally desirable. The i7 M70 does. It represents our belief that sustainability and performance are not competing choices. The future of luxury can be electric, exhilarating and extraordinary - all at once," added Brar.

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Kia India has opened pre-bookings for the Carens CNG, Carens Clavis CNG and Carnival Limousine Hybrid models across its authorised dealer network, expanding the company’s multi-powertrain portfolio in the Indian market.

The additions follow their display at Kia Inspiration Day and introduce alternative fuel options to the manufacturer's multi-purpose vehicle segment. The pricing for all three models is set to be announced at a later date.

Both the Carens CNG and Carens Clavis CNG are based on the G1.5 six-speed manual transmission platform and feature a factory-fitted CNG system with a 60-litre tank capacity. Technical modifications include engine calibration for CNG fuel, revised suspension setups, 16-inch wheels and 16-inch disc brakes. The driver interface incorporates a fuel change switch alongside a 4.2-inch colour TFT display with CNG distance-to-empty logic. Structural changes to the third-row seat-back frame have also been implemented to adjust the recline angle.

The CNG range will include Premium (O) trim for the Carens, while the Carens Clavis will be sold in HTE and HTE (O) trims for retail buyers.

For commercial and business-to-business fleet operations, Kia India has designated the M-Drive trim for the Carens CNG and the HTM trim for the Carens Clavis CNG.

The Carnival Limousine Hybrid introduces an electrified powertrain to the upper tier of the range, powered by a G1.6T HEV engine paired with a six-speed automatic transmission.

It is offered in the Limousine+ trim, which features 18-inch dual-tone aero alloy wheels, active air flaps and a virtual engine sound system. Interior equipment includes an air purifier with air quality index display, seat-back tables with integrated wireless charging, ambient lighting and leatherette door trims.

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Hyundai Motor India, one of the leading passenger vehicle manufacturers, has introduced the Lounge Edition variant across its Creta, Alcazar and Creta Electric SUVs. The special edition trim updates interior cabin equipment, rear seat entertainment and exterior trim styling across the three vehicle lines.

The primary update across all Lounge Edition models is an integrated 29.46 cm rear seat entertainment system featuring streaming platform compatibility, interactive gaming, an app store and smartphone mirroring, operating alongside an eight-speaker Bose audio system.

On the inside, it features silver interior accents, white ambient lighting, revised seat patterns and branded headrest cushions. Exterior changes feature black trim on the skid plates, side sills, roof rails, rear spoiler and side mirrors, paired with black alloy wheels and a golden bronze paint option.

The Creta Lounge Edition, built on the King trim level, is available with a 1.5-litre petrol engine mated to an intelligent variable transmission or a 1.5-litre diesel engine with an automatic gearbox, with prices starting at INR 1.92 million ex-showroom.

The Alcazar Lounge Edition is offered in a five-seat layout based on the Signature variant, powered by a 1.5-litre diesel engine with an automatic transmission and equipped with a voice-activated panoramic sunroof, priced from INR 2.18 million. The Creta Electric Lounge Edition, based on the Long Range Excellence trim, adds a dashcam and rear wireless charging pad, with prices starting at INR 2.43 million.

Amit Dhaundiyal, Head of Product Strategy and Planning, Hyundai Motor India, said, "At Hyundai, we continuously strive to create products and experiences that resonate with the evolving aspirations of our customers. Customers today seek experiences that go beyond mobility, and the new Lounge Edition has been designed with this evolving aspiration in mind. From lounge-inspired interiors, engaging digital entertainment and on-the-go gaming experiences powered by rear seat entertainment, to distinctive styling enhancements, every element has been thoughtfully crafted to transform every journey into a more comfortable, connected and rewarding experience. The Lounge Edition reflects Hyundai's commitment to delivering meaningful innovations and greater value across our SUV portfolio, and we are confident it will appeal to customers seeking a unique blend of luxury, comfort, entertainment and exclusivity in their everyday journeys."

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German automotive luxury brand Audi has unveiled the A2 e-tron electric compact model, which marks its most compact green offering, with prices starting EUR 38,200 in Germany.

Developed in Germany and produced at the manufacturer’s Ingolstadt facility, the EV has an energy consumption rating of 12.8 kWh per 100 kilometres under the WLTP test cycle.

The company will open bookings on 10 September, with European deliveries scheduled to begin in December.

The A2 e-tron is offered in four power outputs ranging from 125 kW and 350 Nm of torque in the base specification to 240 kW and 545 Nm in the top variant, paired with rear-wheel drive and permanently excited synchronous motors. Depending on the output, battery capacities are available in 52 kWh, 61 kWh, or 84 kWh gross options, achieving a maximum driving range of up to 646 kilometres under WLTP conditions.

The chassis design incorporates a drag coefficient of 0.24, utilising active cooling air intakes, aero wheels and wheel-arch gap reducers. Bidirectional charging capabilities support Vehicle-to-Load (V2L) external device powering and Vehicle-to-Home (V2H) energy transfer via compatible wall boxes.

On the inside, it features a curved MMI panoramic display housing a 12.3-inch instrument cluster and a 12.8-inch infotainment touchscreen with artificial intelligence assistant integration. Storage incorporates the Fidlock magnetic attachment system as standard equipment, alongside an optional 1.6-square-metre panoramic glass roof.

Audi states that around 300 components across the vehicle are constructed using recycled materials, including post-consumer plastics, aluminium and steel.

The EV assembly utilises 250 existing industrial robots and 1,200 reallocated production components at the Ingolstadt plant, using fixed-sequence manufacturing methods. Standard driver assistance systems include adaptive cruise control, emergency brake assist, evasive assist, attention assist and parking sensors with a rear-view camera.

Gernot Dollner, Chief Executive Officer, Audi, said, “The A2 e-tron is more than a new model: It represents Audi’s renewal. It shows how we are rethinking premium for Europe: using resources more intelligently without compromising on quality, technology, or customer experience. Developed for the needs of our European customers and built in Ingolstadt, it demonstrates our ambition to shape the future of premium mobility.”

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