Domestic manufacturing of lithium cells will get a boost

The purpose of this decision of the government is to make battery manufacturing cheap and competitive in the country. This will not only boost domestic manufacturing but will also reduce India’s dependence on imports. Lithium-ion batteries are considered vital for electric vehicles, mobile phones and energy storage systems.

Lithium battery cost will be less

Due to exemption in customs duty, the cost of battery manufacturing companies will reduce, which will directly benefit the smartphone and electric vehicle (EV) industry. This may reduce the prices of smartphones and electric vehicles in India and speed up the adoption of green energy. This announcement made in the budget is being considered an important step towards advancing the goal of ‘Make in India’ and clean energy.

Also read: Budget 2026: Announcement of ‘Mission 2.0’ in semiconductor, box of Rs 40,000 crore opened for electronics sector

Big announcement for electronics components too

The central government wants to increase electronics component manufacturing in the country. A big announcement has been made for this sector in Budget 2026. In her speech, Finance Minister Nirmala Sitharaman said that the investment in Electronics Component Manufacturing Scheme has already doubled the target. Making a big announcement in Budget 2026, it has been proposed to increase the expenditure in Electronics Manufacturing Scheme to Rs 40 thousand crore.

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Investment will increase in rare minerals

Rare earth minerals are very important for the production of electronics, electric vehicles and semiconductors. At present, India imports a large part of its rare minerals requirement from China. A big announcement has been made in Budget 2026 to increase self-reliance in this sector also.