No difference among ICEMA members on emission norms, says JCB India chief

ICEMA has itself approached the government to impose emission norms on non-wheeled construction machines, JCB India chief Deepak Shetty said, adding the sector remains unified on stricter standards

There is no difference among companies in the Indian Construction Equipment Manufacturers’ Association (ICEMA) on emission norms, said JCB India chief executive officer (CEO) and managing director (MD) Deepak Shetty on Wednesday.

 

He added that the industry body has urged the Centre to enforce standards for non-wheeled construction machines that operate with no-emission regulations.

 

This stands in sharp contrast to the passenger vehicle (PV) industry, which is currently divided over the proposal to grant weight-based exemptions to small cars under the upcoming Corporate Average Fuel Efficiency (CAFE-3) and CAFE-4 regulations. These are scheduled to take effect from April 2027.

 

CAFE regulations determine the carbon-dioxide limits that each carmaker must meet on a fleet-average basis.

 

Shetty, during a press conference here, said: “I have to congratulate all my colleagues in the ICEMA. We have always been progressive in our thinking...We do not have a difference of opinion on emission norms. We just accept new norms. We get on with it.”

 

“In some other sectors today, you see there is a lot of debate on whether we have these norms or those norms. We have proactively told the government that while there are Stage 5 emission norms on wheeled machines, there are no emission norms on non-wheeled machines or ‘tracked’ machines now,” he added.

 

The Bharat Stage CEV (5) emission norms, also called CEV Stage 5, came into force in India on January 1 and apply only to wheeled construction equipment vehicles.

 

These norms significantly tighten limits on particulate matter and particle number emissions, requiring manufacturers to adopt advanced technologies such as diesel particulate filters.

 

However, non-wheeled or off-highway construction machines, such as crawler excavators, large wheel loaders, tracked pavers, mobile cranes, dozers and motor graders, remain outside the scope of these rules for now.

 

“A machine on wheel goes to a site and it is complying with stage 5 norms and has almost zero nitrogen oxides (NOx) emissions. And, just next to it, we have an excavator that is spewing all the muck,” he stated.

 

“We are requesting the government — and it is very unique —that we want emission norms to be imposed as we have responsibility, from the point of view of sustainability, for India. Also, the moment we have those emission norms for non-wheeled machines, global markets, such as Europe, open for us. It increases export opportunities,” he added.

 

The supply chain will not develop in India for advanced non-wheeled machines — that are compliant with emission norms — on its own. “Only when we have certain emission norms in place, will your supply chain start developing components in India. We can only then take the cost advantage in India and be competitive in an export market like Europe. Otherwise, if you want to build a Stage 5 excavator in India, you have to import components from there,” he added.

 

JCB India expects to export about 11,500 units in 2025, lower than the 14,000 units exported in 2024. This decline is primarily due to the 50 per cent tariff imposed by the US earlier this year. “The US was our largest export market in 2024 -- about 10,000 units were shipped there. In 2025, we are preparing to export just 1,000 units to the US. However, we have been able to divert a significant portion of this shortfall to other markets such as Africa and Europe. As a result, we expect total exports to be around 11,500 units in 2025,” he said.

 

“In 2026, we expect exports to grow in high double digits as we intensify shipments to relatively unexplored markets in Africa, Southeast Asia, Europe and the Middle East,” he added.

 

The company’s domestic sales are also expected to decline -- from about 50,250 units in 2024 to around 47,000 units in 2025 -- primarily because state governments have not been paying small contractors on time, leaving them financially stressed, he said. A prolonged monsoon this year and slower-than-usual road construction under the National Highways Authority of India (NHAI) also weighed on sales. However, he said JCB expects double-digit domestic sales growth in 2026 as rural activity picks up and road development accelerates under both NHAI and the Pradhan Mantri Gram Sadak Yojana.