Union Budget 2025: Driving Growth in India's Auto Sector Through Tax Reforms and Green Initiatives

The Union Budget 2025 emphasizes agriculture and tax reforms, expected to boost demand in the automobile sector. The budget's focus on clean energy and manufacturing initiatives, alongside tax reliefs, supports rural prosperity, green mobility, and infrastructure modernization, fostering a positive growth environment in the industry.

On Saturday, industry leaders lauded the Union Budget 2025 for its focus on agriculture and tax reliefs, predicting a boost in the automobile sector. The Society of Indian Automobile Manufacturers (SIAM) highlighted the government's commitment to sustained economic growth.

Shailesh Chandra, SIAM President, pointed out that the budget's emphasis on rural prosperity and tax reforms would positively impact the auto industry. The National Manufacturing Mission, supporting clean tech for powertrains, was seen as a significant advantage.

Additionally, waivers on customs duties for critical minerals and EV components were welcomed, with experts emphasizing the budget's role in enhancing India's EV ecosystem and global competitiveness. Key industry figures applauded the government for bolstering domestic manufacturing and green energy transition.

(With inputs from agencies.)