Archive · 18 Dec 2025
India's Auto Industry Pushes for Easier Emission Rules
India's car companies are asking the government to make the rules about how clean cars need to be a bit easier.
They want more rewards for making electric cars and think the goals for using less fuel are too hard to reach right now.
Some companies, like Maruti Suzuki, which makes small cars, want special rules because their cars are already more fuel-efficient.
Other companies don't think that's fair.
The government is thinking about these changes and will decide soon.
In other places, like Europe, they are also making their rules a bit easier after car companies asked for changes.
This is all about making sure cars are cleaner but also making sure companies can still make and sell cars that people want to buy.
India's auto industry is pushing for relaxed fuel efficiency rules and expanded EV incentives.
The Society of Indian Automobile Manufacturers (Siam) is preparing to raise concerns with the government.
The industry is divided over proposed relaxations for small cars, which benefit Maruti Suzuki.
The draft CAFE norms propose annual fuel efficiency improvement targets, which automakers find steep.
The proposed norms call for a 63% improvement in fuel efficiency compared to previous standards.
- Who
- Indian automakers and the Society of Indian Automobile Manufacturers (Siam)
- What
- Push for relaxed fuel efficiency rules and expanded EV incentives
- When
- December 2025
- Where
- India
- Why
- To address concerns about the impact on the industry and competitiveness
- Date
- December 2025
- Current Emission Reduction Requirement
- 100%
- Proposed Emission Reduction Requirement
- 90%
- EU Climate Neutral Goal
- 2050
- Electric Car Sales in Europe (2025)
- 16% of new car sales
- Electric Car Market Share in China (Q3 2025)
- 34%
- Proposed U.S. Fuel Economy Requirement (2031)
- 34.5 miles per gallon
- Biden's Proposed U.S. Fuel Economy Requirement (2031)
- 50.4 miles per gallon