Lok Sabha Question No. 3775 (UNSTARRED), answered on 2025-08-12
Subject: Dependence on Chinese Lithium-ion Batteries
Ministry: HEAVY INDUSTRIES
Asked by: Shri K Sudhakaran

## GOVERNMENT OF INDIA MINISTRY OF HEAVY INDUSTRIES

## LOK SABHA UNSTARRED QUESTION NO. 3775

ANSWERED ON 12.08.2025

## DEPENDENCE ON CHINESE LITHIUM-ION BATTERIES

## 3775.  SHRI K SUDHAKARAN:

## Will the Minister of HEAVY INDUSTRIES be pleased to state:

(a) whether the Government acknowledges that over 75% of lithium-ion batteries used in Indian EVs  are  currently  imported  from  China  and  Southeast  Asia  and  if  so,  the  impact  of  this dependency on domestic supply chains;

(b) the current status of domestic giga-factory projects sanctioned under the Production-Linked Incentive (PLI) scheme, including the number of operational projects and total output in the year 2024-25;

(c) whether any timelines have been set for critical mineral self-reliance including lithium, cobalt and nickel sourcing from non-China routes; and

(d) whether any review has been conducted on missed production targets under the Advanced Chemistry Cell battery programme?

## ANSWER

## THE MINISTER OF STATE FOR HEAVY INDUSTRIES (SHRI BHUPATHIRAJU SRINIVASA VARMA)

(a): Yes,  India  is  mostly  dependent  on  other  Asian  countries, inter-alia ,  for  lithium-ion batteries  and  other  basic  requirements  for  the  production  and  promotion  of  EVs  in  India, exposing the industry to supply chain risks and price fluctuations.  Most of the global battery value chain imports originate from China, as the country has significant presence across the value chain.

(b): Under the Production Linked Incentive (PLI) Scheme namely 'National Programme on Advanced  Chemistry  Cell  (ACC)  Battery  Storage',  administered  by  the  Ministry  of  Heavy Industries (MHI), a total of 40 GWh ACC Capacity has been awarded to 4 beneficiary firms, and the projects are under implementation.  One beneficiary firm has confirmed installation of 1 GWh ACC capacity, under pilot run at present.

(c): As per the information received from Ministry of Mines, the Union Cabinet has approved the launch of the National Critical Mineral Mission (NCMM) on 29 th January, 2025, for a period of seven years from 2024-25 to 2030-31, with a proposed expenditure of Rs.16,300 crore and an expected  investment  of  Rs.18,000  crore  by  Public  Sector  Undertakings  (PSUs)  and  other stakeholders.  The NCMM aims to secure a long-term sustainable supply of critical minerals and strengthen India's critical mineral  value  chains  encompassing  all  stages  from  mineral exploration and mining to beneficiation, processing, and recovery from end-of-life products.

In  the  interest  of  developing  bilateral  cooperation  with  countries  having  rich  mineral resources, Ministry of Mines has entered into bilateral agreements with the Governments of a number  of  countries  such  as  Australia,  Argentina,  Zambia,  Peru,  Zimbabwe,  Mozambique, Malawi, Cote D'Ivoire and International organizations such as  International Energy Agency (IEA).

Ministry of Mines has also set up Khanij Bidesh India Limited (KABIL), a joint Venture company with the objective to identify and acquire overseas mineral assets that hold critical and strategic  significance,  specifically  targeting  minerals  like  Lithium,  Cobalt,  etc.    KABIL  has signed an Exploration and Development Agreement with CAMYEN, a State-owned enterprise of  Catamarca  province  of  Argentina  for  Exploration  and  Mining  of  05  Lithium  Blocks  in Argentina  and  has  acquired  15,703  hectares  in  Catamarca  Province,  Argentina,  for  lithium exploration and mining.  KABIL is also exploring joint investments in large value projects in Australia in collaboration with other Indian PSUs.

Ministry of Mines is also engaging on various multilateral and bilateral platforms such as  Minerals Security Partnership (MSP), the Indo-Pacific Economic Framework (IPEF), and initiative on Critical and Emerging Technologies (iCET) for strengthening the critical minerals value chain.

(d): Yes,  monthly  review/  workshops  and  quarterly  field  visits  are  conducted  by  MHI  to review the progress in the implementation of the projects of the beneficiary firms and necessary handholding.

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