New Delhi — India’s electric vehicle component market is expected to grow eightfold, from Rs 41,000 crore in 2025 to Rs 3.55 lakh crore by 2032, according to a new report.
The report, released by the India Energy Storage Alliance and Customized Energy Solutions, said battery packs, motors and power electronics are expected to drive rapid growth in the domestic EV supply chain.
Unveiled at India Energy Storage Week 2026 at Yashobhoomi in New Delhi, the report projected a compound annual growth rate of 38% between 2025 and 2032, far ahead of global averages.
Battery packs are expected to account for more than half of the component market in 2025, while motors, inverters and battery management systems are also expected to grow as automakers increase drivetrain integration.
The report said the market represents an incremental opportunity of Rs 3.14 lakh crore over the period, with domestic companies that invest in research and development, manufacturing capacity and supply chain resilience likely to benefit the most.
It said the future of India’s EV sector will depend on building technology ownership, local supply chains and intellectual property that can support the country’s mobility market over the next decade.
The summit drew more than 200 exhibitors and over 10,000 industry leaders for policy discussions, technical exchanges and major announcements related to 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 for India-Gulf in the Government of Western Australia.
Avanthika Satheesh, director of consulting at Customized Energy Solutions, said India’s EV component market surge signals the country’s readiness to lead in technology and manufacturing.
The report also said battery packs and inverters remain the most import-dependent parts of the EV value chain. Together, they represent nearly 60% of an EV’s cost structure. Motors and battery management systems are localizing faster because of their software-driven nature and lower capital requirements. (Source: IANS)
