Ministry of Heavy Industries Issues Guidelines for SPMEPCI Scheme to Boost EV Passenger Car Manufacturing.

National

In June 2025, the Ministry of Heavy Industries (MHI) released detailed guidelines for the Scheme to Promote Manufacturing of Electric Passenger Cars in India (SPMEPCI).


      - The initiative is designed to attract new investments from global electric vehicle (EV) manufacturers and establish India as a key hub for EV production.

      - Originally launched in March 2024, the SPMEPCI scheme is aligned with India’s broader climate goal of achieving net-zero carbon emissions by 2070.

     

Main Point :-   (i) Approved EV manufacturers will be permitted to import electric four-wheelers (e-4Ws) as Completely Built Units (CBUs) with a minimum Cost-Insurance-Freight (CIF) value of USD 35,000 at a reduced customs duty rate of 15%, valid for a period of five years.

      (ii) Applicants must commit a minimum investment of Rs. 4,150 crore (approximately USD 500 million) to set up EV manufacturing units in India within three years of receiving approval from the Ministry of Heavy Industries.

(iii) The scheme caps annual concessional imports at 8,000 e-4Ws. However, any unused quota for a given year can be carried forward to the following year.

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