India's EV component market likely to surge eight-fold to Rs 3.55 lakh crore by 2032
New Delhi, July 10
India's electric vehicle components market is expected to expand eightfold from Rs 41,000 crore in 2025 to Rs 3.55 lakh crore by 2032, a report said on Friday.
The report from India Energy Storage Alliance and Customized Energy Solutions said battery packs, motors and power electronics will drive unprecedented growth in the domestic EV supply chain.
The report unveiled at India Energy Storage Week 2026 at Yashobhoomi (IICC), here, projected a compound annual growth rate of 38 per cent between 2025 and 2032, far outpacing global averages.
Battery packs will account for more than half of the component market in 2025, with motors, inverters and battery management systems rising as OEMs increase drivetrain integration.
The incremental opportunity of Rs 3.14 lakh crore over this period will disproportionately reward domestic firms that invest in R&D, manufacturing capability, and supply chain resilience, it noted.
The future of India's EV sector depends on building robust technology ownership, local supply chains, and intellectual property that can anchor the nation's mobility landscape for the next decade.
The summit drew over 200 exhibitors and more than 10,000 industry leaders for policy discussion, technical exchange, and major announcements set to define India's clean energy transition.
"Western Australia is ready to partner with India not just as a supplier of critical minerals, but as an innovation and investment ally in the EV revolution," said Dr. Ian Martinus, Investment and Trade Commissioner, India-Gulf, Government of Western Australia.
Avanthika Satheesh, Director, Consulting, CES, said that India's EV component market surge signals the country's readiness to lead in technology and manufacturing.
The report also flagged that battery packs and inverters remain the most import-dependent segments of the value chain, together representing nearly 60% of an EV's cost structure, while motors and BMS are localising faster due to their software-driven and lower capital intensity characteristics.
— IANS
Reader Comments
While this growth projection is impressive, I worry about charging infrastructure. In Bengaluru, I still struggle to find reliable fast-charging stations for my EV scooter. What's the point of making components if common people can't use them? Hope the summit discussions also addressed grid readiness and affordable public charging. Otherwise, this is just a numbers show.
Great to see Western Australia offering partnership beyond just mineral supply. We need tech transfer, not just raw material deals. India has engineering talent but lacks IP ownership in power electronics and battery management systems. Let's use this opportunity to build our own IP—like China did with their early EV push. Jai Hind! 🇮🇳
38% CAGR is fantastic, but let's not forget the human cost. As an auto engineer, I see many traditional IC engine workers losing jobs. This transition must include skill development and reskilling programs. Otherwise, growth numbers will hide real pain in supply chain towns. Affordable EV adoption also needs battery recycling—imported lithium isn't sustainable.
India is waking up to the EV revolution! My friend's startup in Pune is developing indigenous BMS software—they got funding from IESA. The report rightly flags battery import dependence, but with new lithium finds in Rajasthan and Jammu, we might see domestic cell manufacturing soon. Let's aim for 50% local content by 2030. Up top if you agree! 👆
Impressive growth numbers, but as someone living in Delhi, I wish the report also addressed pollution
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