The mining and supply of domestic lithium to Indian electric vehicle (EV) makers will result in reduction in production cost of lithium cells and in end vehicle production cost, said Anirudh Ravi Narayanan, CEO & Co-Founder, Bharat New-Energy.  Queried about the impact of domestic supplies of lithium on the production cost of EVs, Narayanan in an interview told IANS: “My expectation is that we can see cell prices 20-30 per cent due to these, which would lead to vehicle cost reduction of 8-15 per cent.”

“I am not an expert on the mining industry, but from what I understand it will take 3 years minimum for us to see output,” he added. As of FY ’22, India imported $1.8 billion of lithium batteries and cells. As for FY’23, up until Q3’23, we had already exceeded this number so we may end the year with about $2.4 billion worth of imports.

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