Despite the fact that export opportunities to many matured export markets appear to be opening up for Indian construction equipment (CE) manufacturers, the industry lobbying body, the Indian Construction Equipment Manufacturers Association (ICEMA), expressed its displeasure with the partial implementation of emission norms in its most recent note to industry stakeholders.

It has written to the relevant government departments, urging that the distinction between on-road and off-road equipment be removed, bringing all construction equipment machinery under a single set of laws.

According to ICEMA, India's current emission rule, which took effect on April 1, 2021, is limited to roadable CEVs with rubber tyres/rubber cushioning or steel drums. However, off-road and off-highway equipment, which account for about 30-35 percent of the total construction equipment sold in India is exempt from these requirements. Thus, even though the new standards have brought roadable CEVs up to global standards, Indian CE manufacturers' competitiveness continues to suffer due to unregulated off-highway equipment used in applications such as mining, quarrying, and irrigation projects, among others and includes a wide range of products such as crawler excavators, large wheel loaders, wheeled dozers, crawler dozers, large motor graders, tracked pavers, tracked milling machines, and tracked milling machines.

Furthermore, in the absence of off-highway construction equipment governance, end-users are drawn to cheaper, non-legislated machines despite their high carbon footprint and questionable standards,  it added. The lobby group, also said that regulating the off-highway equipment segment would help reduce greenhouse gas emissions. This is in line with the government's agreement under the climate change goals of the Paris Accords, which says that India is committed to lowering the emission intensity of its GDP by 33–35 percent by 2030, as compared to 2005 levels, as well as achieving the sustainable development goals.

ICEMA is India's apex association for construction equipment manufacturers, representing over 90 leading companies that manufacture, trade, and finance a diverse range of construction, earthmoving, concrete, mining, and material handling equipment used in the nation's development of robust world-class infrastructure.