Indian Carmakers Diversify Lithium-Ion Supply Beyond China

With China imposing stricter export controls on lithium-ion battery technologies, Indian carmakers are accelerating efforts to diversify their supply chains. Industry leaders confirm that manufacturers are exploring imports from South Korea, Japan, and European nations to safeguard electric vehicle (EV) production.  

At the same time, Indian companies such as Exide Industries and Amara Raja are scaling up domestic battery manufacturing, supported by government incentives under the Production Linked Incentive (PLI) scheme. This dual approach-global diversification and local expansion-reflects India’s strategy to strengthen self-reliance in EV technology.  

Analysts note that securing reliable lithium-ion supplies is critical as India pushes toward its EV adoption targets. The shift away from China is expected to reduce risks associated with geopolitical tensions and ensure long-term sustainability for the auto industry.  

Key Highlights  

• China’s export restrictions trigger supply chain concerns  
• Indian carmakers seek lithium-ion suppliers in South Korea, Japan, and Europe  
• Domestic firms like Exide and Amara Raja expand EV battery capacity  
• Government incentives support local manufacturing under PLI scheme  
• Diversification aims to reduce dependency and strengthen resilience  

Sources: The New Indian Express, EVreporter, EV India