In order to improve domestic production, foreign acquisition of key minerals, and their recycling, Finance Minister Nirmala Sitharaman announced the creation of the key Mineral Mission in the Union Budget 2024–25. Through its emphasis on minerals essential to e-mobility and renewable energy, this project helps to indirectly increase the manufacture of electric vehicles (EVs) in India. Technology development, a trained labor force, an expanded producer responsibility scheme, and an appropriate funding source are all included in the policy. The Finance Minister presented the Government of India’s plan to improve energy security in terms of availability, affordability, and accessibility in the interim budget for February 2024.
Customs charges do not apply to critical minerals, which include rare earth elements (25 in total), copper, cobalt, and lithium. These minerals are essential for industries such as telecommunications, space exploration, nuclear energy, renewable energy, and defense.
In order to improve domestic production, foreign acquisition of key minerals, and their recycling, Finance Minister Nirmala Sitharaman announced the creation of the key Mineral Mission in the Union Budget 2024–25. Through its emphasis on minerals essential to e-mobility and renewable energy, this project helps to indirectly increase the manufacture of electric vehicles (EVs) in India. Technology development, a trained labor force, an expanded producer responsibility scheme, and an appropriate funding source are all included in the policy. The Finance Minister presented the Government of India’s plan to improve energy security in terms of availability, affordability, and accessibility in the interim budget for February 2024.
Customs charges do not apply to critical minerals, which include rare earth elements (25 in total), copper, cobalt, and lithium. These minerals are essential for industries such as telecommunications, space exploration, nuclear energy, renewable energy, and defense.
This program demonstrates India’s dedication to sustainable mobility solutions that enhance a cleaner transportation ecosystem in addition to promoting the growth of the EV industry. The CEO and co-founder of Neuron Energy, Pratik Kamdar, praised the budget’s decision and said that lowering customs tariffs on minerals like cobalt and lithium will dramatically lower the cost of producing battery cells, lowering the price of EVs.
Bhavish Aggarwal, the founder of Ola, also commended the legislation, highlighting its capacity to transform India’s energy transition and advance women’s employment.
The Finance Minister further declared that ferrous scrap and nickel cathode would continue to be exempt from Basic Customs Duty (BCD), and that copper scrap would continue to be subject to a concessional BCD of 2.5%.
