Union Minister Nitin Gadkari on Tuesday said the Vehicle Scrapping Policy is expected to reduce the prices of auto components by 30 per cent, which may reduce the rate of vehicles to benefiting consumers.
The Minister for Road, Transport and Highway made the remarks while addressing the Times Drive Auto Awards 2025 in the national capital.
The demand for EVs will grow as the government is taking various steps to improve the charging infrastructure in cities and on highways, he noted.
The adoption of EVs will also increase as the prices of input materials come down, Gadkari said.
"We brought scrapping policy, because of which prices of the auto component will be reduced by 30 per cent," the minister said.
Prices of auto components have a direct bearing on vehicle prices.
Gadkari said prices of lithium-ion batteries have also come down in India.
He said many big companies like Adani Group and Tata are going to produce lithium-ion batteries on a large scale in India.
The lithium-ion battery is a key component of electric vehicles.
He also said that large lithium reserves, which have been discovered in Jammu and Kashmir, are 6 per cent of the world's total lithium reserves, sufficient to manufacture crores and crores of lithium-ion batteries.
On the Indian automobile industry, he said it is growing at a healthy pace. The industry has become the third-largest in the world, pushing Japan behind.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
Track Latest News Live on NDTV.com and get news updates from India and around the world
