Will EV prices increase or decrease in India in 2023?

Toxic emissions from petrol and diesel vehicles lead to long-term, adverse effects on public health. The emissions impact of electric vehicles is much lower than petrol or diesel vehicles.Fully electric vehicles (EV) have zero tailpipe emissions,low running cost ,maintenance cost ,tax and incentives benefits.But higher upfront cost is a big preventing factor for buying electric cars.Electric vehicles can be pricier than regular gas-powered cars. It is a deciding factor for many since one can buy a bigger petrol car for the same price.

 This article will look at some of the reasons and how those factors impact the overall price of EVs.

Most expensive component of EV

A battery is a device that converts chemical energy into electric energy by means of an electrochemical reaction.An electrochemical reaction involves the transfer of electrons from one material to another in an electronic circuit.

EVs are loaded with cutting-edge technology such as high-capacity batteries.The battery is the most expensive component in an electric car. In fact, it accounts for around 30 to 40% of an EV's total cost. Lithium-ion batteries are used in EVs because they have a high energy density and are relatively lightweight.

 Electric cars are powered by batteries, which cost a lot to produce. A battery is made up of many cells that store electrical energy in the form of chemical energy. The cost of these cells has decreased considerably over the years, but they are still the most expensive component in an EV.

EV rates will come down once lithium batteries are manufactured in INDIA

As per TOI news Goa's Power Minister Sudin Dhavalikar said

that once lithium batteries are manufactured in India, the rate of electrical vehicles (EVs) will come down to half compared to present prices.According to the minister, initially when mobile phones were imported from other countries,their cost was high.But rates fell after they were manufactured in our country.

Once lithium ion batteries are manufactured in India,the price of EVs will come down from Rs 30 lakh to Rs16 lakh Goa's Power Minister Sudin Dhavalikar said

Few companies which manufacture Lithium-ion batteries

lithium-ion batteries are getting a lot of traction in the industry (ESS). Lithium is the most common material used in Li-Ion battery packs since it is more stable and safer than other minerals when it comes to charging and discharging energy.

India as a market has great potential to build up and become a self-sufficient country in this area.

TDS Lithium-Ion Battery Gujarat-TDSG, India’s first Lithium-ion Battery Manufacturing Plant, is being built in Gujarat by TOSHIBA Corporation, DENSO Corporation, and Suzuki Motor.

All three Japanese ventures have spent a total of 180 million dollars in the lithium-ion battery production factory.

Exide Industries - Exide is one of India’s most dependable brands.Exide has nine facilities strategically placed throughout India, seven of which are dedicated to batteries. Exide has subsidiaries in the United Kingdom, Singapore, and Sri Lanka.

Amperex Technology Ltd ( ATL) -ATL is the world’s top lithium-ion battery manufacturer.They provide high-quality rechargeable lithium-ion battery cells, packs, and system integration solutions, as well as advanced technologies, production capacities, and high-quality services.The firm is based in Hong Kong and has operations in the Indian state of Haryana as well.

Li Energy - Li Energy built a lithium-ion battery manufacturing giga factory in India. It is a privately held firm based in Chennai, Tamil Nadu.It has a production capacity of 1.2 gigawatts per year.

Amara Raja Batteries - The Amara Raja Group, based in Tirupati.The Amara Raja Group is well known for its Amaron automobile battery brand, which is India’s second most popular behind Exide Industries.

HBL power - HBL is an Indian battery and power systems manufacturer located in Hyderabad. HBL is the SECOND LARGEST producer of Nickel-Cadmium batteries in the world, and the ONLY Indian firm using PLT VRLA battery technology.

Summing up - As we have more and more lithium-ion battery manufacturers in India , the automobile industry will not depend on imports.Government plans to develop low-cost lithium-ion batteries in India, Union heavy industry minister Anant Geete said efforts are being made to remodel the battery made by Indian Space Research Organisation so that it can be used in electric vehicles.Government is trying hard to lower cost of electric vehicles so that in coming years even a middle class can afford it.