Aluminium Association of India Ask Centre To Hike Import Duty And Encourage Domestic Production

Aluminium

The Aluminium Association of India (AAI), the apex body representing aluminium producers in India, has submitted its pre-budget representation to the Department for Promotion of Industry and Internal Trade (DPIIT) under Ministry of Commerce, Government of India.

It emphasises aluminium’s crucial role in India’s continued growth, especially as the nation envisions becoming a ‘Viksit Bharat’ by 2047. High aluminium usage is an established marker of advanced economies, given the metal’s extensive use in both present and futuristic applications. This has led several nations like USA, Malaysia and Indonesia to designate aluminium as a ‘strategic sector’.

As per industry estimates, India’s per capita consumption of aluminium is still around 3kg per annum, compared to the global average of 12kg. However, the sector is facing major challenges in attracting fresh investments, despite domestic demand for aluminium set to reach 10 MTPA by 2030. So far, the Indian aluminium industry has invested over USD 20 billion, to expand production capacity to 4.2 MTPA to meet the growing demand. However, a further investment of about USD 40 billion over the next 6 years will be needed to meet the expected demand of 10 MTPA, while also creating more jobs within India.

AAI states that given that aluminium is a strategic metal with extensive usage in defence, aerospace and sunrise sectors of renewables, electric vehicles, power transmission and sustainable infrastructure, it is paramount for India to be self-sufficient in aluminium production. Towards encouraging fresh investments, aluminium producers have requested the Central Government to safeguard the industry from surging imports.

The industry body states that over the past couple of years, imports of primary aluminium have doubled while there has also been a significant surge in low-quality scrap and downstream products, especially from China.

Industry members have highlighted that the influx of imports in the domestic market is a deterrent to making new investments in the sector, even when India has all the necessary ingredients to emerge as a global aluminium hub. According to them, the primary reason for the surge in imports is the low import duties on primary/downstream products and a prevalent duty difference between primary goods and scrap in aluminium. This is unlike other key non-ferrous metals, where the duty for scrap and primary is at par.

AAI states it is therefore requesting the Central Government to help ensure the nation’s self-sufficiency and attract new investments by increasing the import duty on primary/downstream products to 10 percent from the existing 7.5 percent. Additionally, to control cheap imports, the duty on aluminium scrap also needs to be set at 7.5 percent, at par with other aluminium products. This measure would encourage the recycling of domestic scrap and limit the influx of low-quality foreign scrap, helping strengthen the circular economy.

To ensure global competitiveness, it is essential that policies nurture a sustainable environment, fostering growth for the domestic industry while positioning India as a leader in the global market. This will provide some relief to the industry, already burdened by high tax and regulatory charges.

At present, the industry incurs around 17 percent of its cost of production in taxes, levies, and regulatory compliance charges. To ease this burden, the AAI has proposed an urgent rationalising of duties on crucial raw materials.

The domestic aluminium industry’s existing investments in capacity have led to the creation of over 800,000 direct and indirect jobs and spurred the development of more than 4,000 small and medium enterprises (SMEs) in remote regions, particularly in the downstream sector. According to the AAI, the additional investment of USD 40 billion to meet domestic demand would align with the Prime Minister's vision for an ‘Atmanirbhar Bharat’, while also creating 2 million livelihood opportunities across the country. With government support in the form of duty rationalisation and enhanced import restrictions, the domestic producers are confident of contributing to India's journey toward self-reliance.

Representational image courses: Victor Kovshevny/Flickr

Solaris Opens New Assembly Hall In Sroda Wielkopolska

Solaris

Solaris, a leading European bus manufacturer, has opened a production hall in Sroda Wielkopolska, which further supplements the company’s manufacturing operations, including a welding plant established in the area in 1998.

The 7,000-square-metre facility is dedicated to the assembly of city buses. Previously, this stage occurred only in Bolechowo, but production will now take place at both sites. This development increases production capacity by 500 vehicles per year, bringing the firm closer to a target of 2,000 vehicles annually. The project has created 300 jobs, with additional roles generated in the supply chain.

In 2025, Solaris delivered 1,631 vehicles, of which 86 percent were battery-electric, hydrogen or trolleybus models.

The company is supplying the buses to its customers in the United States and Canada and plans to further expand its intercity bus range in Europe.

Agata Standa, CEO, Solaris, said, “We are investing in expanding our production capacity and product portfolio to meet the growing demand for sustainable transport in Europe and in new markets.”

Solaris has secured 47 hectares of land in Sroda Wielkopolska for a second facility dedicated to intercity buses, which is scheduled to reach operational status in 2029.

NIO

Chinese new energy vehicle company NIO has announced that on 22 June 2026, the World Economic Forum (WEF) officially designated NIO Factory Two (NIO F2) as a member of its Global Lighthouse Network (GLN). This recognition highlights NIO’s success in deploying Fourth Industrial Revolution technologies at scale.

The WEF selection process, conducted in partnership with McKinsey & Company, evaluated NIO F2 on its ability to integrate advanced digital and AI-driven systems. NIO was specifically recognised for:

  • Integrated Ecosystem: Developing a real-time, closed-loop system that connects in-vehicle AI, battery swap networks and a digital twin platform.
  • Operational Efficiency: The factory manages over 3.6 million vehicle configurations, which has successfully accelerated speed-to-market by 44 percent.
  • R&D Automation: The implementation of advanced systems has allowed for the automation of 90 percent of R&D workflows.
  • AI-Driven Decision Making: Approximately 80 percent of manufacturing scenarios at the facility are now supported by AI-driven decision-making, leveraging a mix of industrial AI algorithms and in-house developed foundation models.

NIO F2 is a fully digitalised smart factory located in the Xinqiao Industrial Park. Prior to this international recognition, the site earned several domestic accolades, including the National Green Factory awarded by China’s Ministry of Industry and Information Technology (MIIT) and the Super Automotive Factory designated by the China Automotive Technology and Research Center (CATARC).

Beyond its technical achievements, the factory maintains an open-engagement policy. Since 2018, NIO’s assembly plants have hosted nearly 300,000 global visitors, aiming to showcase the advancements in China’s intelligent manufacturing ecosystem.

NIO intends to use the GLN standards as a benchmark for its future manufacturing systems, continuing the integration of AI to set new standards in intelligent EV production.

EKA Mobility Rolls Out 1,000th Electric Small Commercial Vehicle From Pune Plant

EKA Mobility

EKA Mobility, a leading Indian electric commercial vehicle manufacturer, has announced the rollout of its 1,000th small commercial vehicle (SCV) from its manufacturing facility in Chakan, Pune.

Backed by global and domestic investors – including VDL Groep (Netherlands), Mitsui & Co. (Japan), NIIF India-Japan Fund, and Enam Holdings – the company operates as a Champion OEM under the Government of India's Auto PLI Scheme.

To mark the milestone, EKA Mobility organised two high-profile vehicle handovers highlighting local community integration and international diplomatic ties:

  • Local Delivery: The 1,000th vehicle, an EKA 6S, was officially presented to the Dagdusheth Halwai Ganpati Trust, one of Pune’s prominent charitable institutions. The EKA 6S is India's first steering-wheel passenger electric three-wheeler featuring a driver plus six-seater capacity configuration. The trust will deploy the EV within its community service and humanitarian operations.
  • International Diplomatic Delivery: The company handed over an EKA 3S electric three-wheeler to Marisa Gerards, the Ambassador of the Kingdom of the Netherlands to India. The handover highlights EKA's bilateral connection with the Netherlands, which is home to its strategic engineering and industrial partner, VDL Groep.

The Chakan plant serves as EKA Mobility's primary industrial hub for SCV and truck production. It currently has an installed production capacity of 24,000 commercial vehicles per year. The site employs more than 1,000 people and features an on-site research and development centre staffed by over 400 engineers and designers.

Under its EvolutioNARI initiative, EKA Mobility has established an all-women-led assembly line specifically dedicated to its SCV production, focusing on diversity within the automotive manufacturing sector.

Furthermore, EKA Mobility is currently the only domestic OEM offering a full-stack commercial EV portfolio spanning three-wheelers, SCVs, buses and trucks. The company's assembly footprint is scaling across three distinct locations – Chakan, Pune, plant has an annual capacity to manufacture 24,000 SCVs and trucks. Koregaon, Pune, can manufacture 15,000 e-buses and upcoming Pithampur plant in Madhya Pradesh, which will have a combined manufacturing capacity of 4,000 buses.

Dr. Sudhir Mehta, Founder & Chairman, EKA Mobility, said, “The 1,000th SCV rolling off our Chakan facility is not merely a production number; it is proof of what Indian engineering, innovation, and determination can achieve. It reflects years of perseverance and a shared belief that India can emerge as a global leader in sustainable mobility through world-class products designed and manufactured at home. As we celebrate this achievement on World Environment Day, we are reminded that our purpose extends beyond manufacturing vehicles. We are building solutions that help businesses operate more sustainably, reduce environmental impact, improve everyday mobility, and contribute to a cleaner future for generations to come.”

Servotech Renewable To Invest INR 4 Billion In Haryana To Expand Manufacturing

Servotech - Haryana

Servotech Renewable Power System has signed a Memorandum of Understanding (MoU) with the Haryana Enterprises Promotion Centre (HEPC), Department of Industries & Commerce, Government of Haryana. The agreement outlines a proposed investment of approximately INR 4 billion to expand its manufacturing and warehousing operations within the state.

The proposed CAPEX will be deployed in a phased manner over the next 24 to 36 months. The expansion targets several clean-technology and power segments that have been identified as core thrust areas under the state's new industrial policy.

The investment will scale Servotech's manufacturing capacity across electric vehicle (EV) chargers, solar products, battery packs, Battery Energy Storage Systems (BESS) and power electronics.

While the company is currently evaluating specific site locations within Haryana, the capacity expansion is intended to scale overall production volumes, improve operational efficiencies, deepen import substitution, and support growing domestic and export market demand. Under the terms of the MoU, the Haryana Government, via the HEPC, will provide single-window facilitation support and ease-of-doing-business assistance to streamline project implementation.

The project is projected to generate around 500 direct and indirect employment opportunities, contributing to Haryana's industrial and economic growth.

The MoU was finalised in the presence of the Chief Minister of Haryana, Nayab Singh Saini, during the official launch of the ‘Make in Haryana’ Industrial Policy 2026 in Gurugram on 1 June 2026. The event also introduced a compendium of nine separate sectoral policies designed to attract industrial and clean-energy investments to the state.

Raman Bhatia, MD, Servotech Renewable Power System, said, “We are delighted to partner with the Government of Haryana. Haryana has emerged as one of India’s most progressive investment destinations, and the launch of the Make in Haryana Industrial Policy 2026 reinforces the state’s commitment to industrial growth, clean-energy manufacturing and innovation. Our proposed INR 4 billion investment aligns with Servotech’s long-term vision of scaling renewable energy manufacturing capabilities and is a meaningful step towards our stated ambition of reaching INR 15 billion in revenue by FY2027. We believe this collaboration will strengthen our operational footprint and contribute to Haryana’s clean-energy ambitions and broader economic development.”