Overview of Indian Government Policies, Regulations and Automotive Company Strategies toward Net-zero Emissions

The automotive sector in India is undergoing a transformation, driven by government policies and regulations aimed at achieving net-zero carbon emissions. In alignment with global climate goals, the Indian government has set ambitious targets to reduce greenhouse gas emissions, with a focus on promoting Electric Vehicles (EVs) and Hydrogen Fuel Cell Vehicles (FCVs). Initiatives like the Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) Scheme, along with tax incentives, subsidies, and charging infrastructure development, are designed to accelerate the adoption of cleaner vehicles. The introduction of stricter emission standards and the National Electric Mobility Mission Plan (NEMMP) further underscores the push toward sustainable mobility. In response, Indian automotive companies are shifting strategies to align with these government directives. Major players are significantly increasing investments in EV technology, focusing on enhancing battery performance, expanding manufacturing capacities, and improving charging networks. Meanwhile, hydrogen fuel cell technology is being explored as a potential solution for specific sectors like long-distance trucking and buses, with pilot projects underway to assess the feasibility of hydrogen infrastructure in India. The future market trends in India point toward rapid growth in both EVs and FCVs, driven by supportive government policies, evolving consumer preferences, and advancements in technology. As India moves toward its carbon-neutral goals, the automotive industry’s shift to zero-emission vehicles is pivotal. This paper explores the synergy between government regulations, automotive industry strategies, and market dynamics in shaping India’s transition to a sustainable transportation future.