Press Release, 2 February 2026
Reacting to the Union Budget 2026, Mr. Vinod Aggarwal, Managing Director & CEO of VE Commercial Vehicles (VECV), lauded the government’s continued emphasis on infrastructure development, sustainable mobility, and domestic value chain enhancement, calling it a “purposeful roadmap toward Viksit Bharat.”
Aggarwal highlighted that the ₹12.2 lakh crore capital expenditure allocation for infrastructure will be a major catalyst for India’s economic momentum. This investment, he noted, will not only strengthen logistics and transportation networks but also sustain demand for trucks, buses, and commercial vehicles—sectors that play a vital role in driving nationwide economic activity.
A significant feature of this year’s budget, Aggarwal emphasized, is the government’s decision to develop Rare Earth Mineral Corridors across Odisha, Kerala, Andhra Pradesh, and Tamil Nadu. These corridors are expected to secure critical raw materials for electric motors and advanced mobility components, reducing India’s dependence on imports and supporting the creation of robust domestic value chains.
On the clean mobility front, the continuation of duty exemptions on capital goods for battery manufacturing and incentives for localized processing were termed “instrumental” by Aggarwal. He stated that these measures will help build a cost-efficient battery ecosystem, improving the Total Cost of Ownership (TCO) and accelerating the adoption of electric vehicles in the commercial segment.
Aggarwal concluded that the Budget 2026 strikes the right balance between immediate growth and long-term capacity building, reinforcing India’s position as a resilient, self-reliant, and globally competitive manufacturing hub. The measures, he added, strengthen both industrial confidence and the country’s ambition to lead the global mobility transition.
Compiled using AI
