The industry is expecting direct incentives or schemes to strengthen the EV supply chain, especially for battery manufacturing. The goal is to increase domestic value addition in battery production to 50%-60%, reducing dependence on imports. This would benefit battery makers like Exide Industries and Amara Raja Batteries, making these stocks a key focus.
The sector is also hoping for greater investment in charging stations and energy storage systems to support the transition to green mobility. Additionally, increased government support for research and development (R&D) in clean energy, semiconductors, and EV technology would be a major boost. This could positively impact companies such as Bajaj Auto, TVS Motor, Ola Electric, Tata Motors, Mahindra & Mahindra (M&M), and JBM Auto.
If the budget includes higher allocations for rural development schemes, it could drive demand for entry-level vehicles. In the two-wheeler segment, this would benefit Hero MotoCorp. In the four-wheeler market, Maruti Suzuki could see gains. For the tractor segment, Escorts Kubota and M&M are expected to benefit.
Also Read | Budget 2025: What the energy sector expects
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