Auto component industry seeks stable road map for EV transition

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The Automotive Component Manufacturers Association of India (ACMA) said Tuesday the government should adopt a pragmatic approach to create a stable and long-term road map for a smooth transition to electric mobility.

The industry body's comments come in response to some media reports that the government was considering a proposal to ban sale of internal combustion engine (ICE) three-wheelers by 2023 and less than 150 cc two-wheelers by 2025.

"Whilst the auto component industry whole-heartedly supports the government's intent of ushering in e-mobility and has already started to prepare for it, a 100 per cent transition in the next few years would translate into decimating the existing vibrant eco-system of this unique industry," ACMA President Ram Venkataramani said in a statement.

Undue haste, without giving adequate consideration for localisation, could lead to rising imports; a phenomenon already, rapidly gaining ground with increasing electronic content in vehicles, he cautioned.

"Therefore, a pragmatic approach for the government would be to create a stable, long-term road map in consultation with the industry to ensure a smooth evolution rather than a disruption," Venkataramani said.

Earlier this week, auto industry body SIAM had asked the government should follow a well laid out road map and a practical time frame for rollout of electric vehicles. Industry chamber CII also said the government should carry out wider consultations before finalisation of goals and timelines for electric mobility.