PMO Advisor Tarun Kapoor Calls For Reducing China's Grip on India's EV Supply Chain

Speaking at ASSOCHAM's National Conference on Building India an Electric Mobility Hub, the PMO Advisor urged faster EV adoption alongside localisation of batteries and critical components.

02 Jul 2026 | 2143 Views | By Mukul Yudhveer Singh

India should progressively reduce its dependence on China for critical electric vehicle components by building domestic manufacturing capabilities across the EV value chain, Tarun Kapoor, Advisor to the Prime Minister in the Prime Minister's Office (PMO), said.

Speaking at ASSOCHAM's National Conference on Building India an Electric Mobility Hub, Kapoor said recent geopolitical developments had further reinforced the importance of electric mobility, not only as a clean mobility solution but also as a strategic imperative for strengthening India's energy security and manufacturing ecosystem.

He said India should simultaneously accelerate EV adoption and localise the production of batteries, magnets and other critical components to reduce vulnerability to supply chain disruptions.

“We have to see how our dependence on China goes down,” Kapoor said, adding that India should gradually increase domestic value addition across the EV ecosystem. While acknowledging that achieving complete self-reliance may not be practical, he said the country should manufacture as many critical components domestically as possible.

“We have to see how our dependence on China goes down,” Kapoor said, adding that India should gradually increase domestic value addition across the EV ecosystem. While acknowledging that achieving complete self-reliance may not be practical, he said the country should manufacture as many critical components domestically as possible.

Kapoor said the government would be supportive of initiatives that strengthen domestic manufacturing capabilities as India's EV ecosystem matures.

He also called for a much faster transition to electric mobility, identifying electric two-wheelers as the immediate priority because they account for the largest share of petrol consumption. Commercial vehicles, including trucks and buses, should be the next focus area to reduce diesel consumption, he said.

To accelerate adoption, Kapoor highlighted the need for innovative financing models, battery ownership solutions, charging infrastructure, and targeted electrification of commercial transport corridors. He also urged the industry to invest aggressively and work with policymakers to expand India's EV manufacturing base.

Calling electric mobility "a mission for all of us", Kapoor said even a modest reduction in petroleum consumption would strengthen India's economy by lowering crude oil imports and reducing exposure to global supply disruptions.

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