In a move to help EV (Electric Vehicle) owners, India plans on launching a ‘Battery Passport’ regime. Under the system, the specifications of every battery, including the origin, performance, composition, EoL (End-of-Life), and the entire supply chain will be digitally captured and embedded in a QR code.

Officials at Niti Aayog have highlighted that a battery passport will serve similar functions as an Aadhar Card, with every battery having a unique ID that provides all the information on the product.

The initiative will not only improve safety and quality standards but also accelerate EV exports from India. Additionally, India is offering a major incentive to global EV players to set up manufacturing hubs in India and export from here. This will also assist the future of battery swapping policy for vehicles, allowing owners to access the details of their battery by simply scanning a QR code.

Also Read: Global EV Import Duty to Reduce to 15% Under New Scheme? Read to Find Out.

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ev

The policy has been deemed essential after a series of fire incidents involving electric two-wheelers and cars. Industry insiders have said that there have been instances of the companies importing batteries of different vintages and using them a part of the same modules.

After the implementation of this policy, it will be possible to ensure that all cells in any battery are manufactured in the same year. Since the battery constitutes nearly 40% of the cost of an EV, the users will be able to determine lifecycle and performance rather easily.

Also Read: China’s Rare-Earth Export Curbs Threaten India’s EV Push: E-Vitara Faces Production Cuts

China Rare Earth Export Restrictions and their Effect on India's EV Push

India’s electric vehicle (EV) ambitions face a major setback following China’s April 2025 decision to tighten export restrictions on rare earth magnets which is a critical components used in EV motors. Though these magnets account for less than 5 % of a vehicle’s cost, their scarcity could bring manufacturing to a standstill.

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ev charging

What’s Happening?

New Beijing licensing requirements: China now mandates licenses, detailed end-use disclosures, and military non-use guarantees for seven rare earth magnets and alloys, including samarium, terbium, dysprosium, neodymium, extending approval times to at least 45 days.

Crippling delays: By May 2025, India had cleared roughly 30 import requests at home but none approved by China, leaving automakers empty-handed.

Ripple Effect on Indian EV Industry

Production bottlenecks: Vehicle rollouts, including dozens of new EVs, and major two-wheeler launches could be delayed by July 2025 due to low magnet inventory.

OEM impact: Maruti Suzuki has already slashed its e‑Vitara six-month production target by two-thirds (from approx. 26,500 to approx. 8,200 units) attributable directly to magnet shortages.

Potential price increases: Analysts predict a 5–8 % cost bump for EVs and scooters as shortages tighten pricing dynamics.

Also Read: India Forms Panel to Tackle Rare Earth Shortage; China Tightens Export