New Delhi, March 17 -- The Indian automobile industry expanded by a modest 7% year-on-year in the quarter ending 31 December 2024. The sector's growth was dragged down by the passenger vehicle (PV) segment, which grew by a meagre 3% and the commercial vehicle (CV) segment, which shrunk by 2% during the period.

But there have been pockets of strength. For instance, the registration for electric two-wheelers expanded by 37% on-year. The government focus has also continued on new-age vehicles. The budget 2025 announced an exemption of customs duties for components used in electric vehicle (EV) battery manufacturing, and the National Manufacturing Mission has been formed with a focus on clean tech manufacturing to improve the EV charging eco...