India's EV battery demand will expand to 256.3 GWh by 2032: CES Report

With the government pushing for mobility electrification, it is expected that India will experience a surge in the battery market from 17.7 GWh in 2025 to 256.3 GWh by 2032, Customised Energy Solutions (CES) reported on Friday. 

As per the 2025 EV Battery Technology Review Report, the growth is expected to be further accelerated with the rising fuel prices, new EV model launches, strengthening consumer demand and robust policy support 

The report also underlines that the nation's automotive sector might undergo a seismic shift with an expected compound annual growth rate (CAGR) of 35 per cent.

With the global acceleration of electric mobility, the report offers significant insights into innovations in chemistry and performance, as well as improvements and manufacturing strategies that are shaping next-generation battery systems.

Citing Vinayak Walimbe, Managing Director, CES, the report added, "Breakthroughs in battery chemistry are at the core of India's EV revolution. Innovations like LFP Gen 4 and the emergence of sodium-ion technology are not just technical upgrades; they're game-changers that will make electric vehicles more affordable, safer, and able to go farther on a single charge."

The EV battery growth significantly revolves around the revolution in battery chemistry, like lithium-ion batteries, lithium iron phosphate batteries and NCM (nickel cobalt manganese) technologies. These technologies can push the industry to achieve new limits of safety,  energy density, and cost competitiveness.

As stated in the report, LFP Gen 4 cells now exceed an energy density of 300 Wh/kg, allowing for longer driving ranges and may result in lower vehicle costs. At the same time, sodium-ion and solid-state batteries are being introduced into the market, providing energy solutions to India's various vehicle categories, including two- and three-wheelers, premium passenger cars, and commercial fleets.

However, the report highlights ongoing challenges that must be addressed through focused policy interventions, calculated investments, and increased industry cooperation to achieve its electrification objectives and establish a robust domestic battery ecosystem.

China's export controls on critical materials and battery know-how, including synthetic graphite, are slowing gigafactory buildouts and exposing the supply chain to risk. High upfront capital requirements, limited domestic mineral reserves, and ongoing technology dependence remain substantial obstacles to India's ambition for self-reliant battery manufacturing at scale.

Founded in 1998, CES helps clients navigate and anticipate changes in the energy markets.

CES has taken the lead in establishing the India Energy Storage Alliance (IESA), a leading industry organisation focused on advancing energy storage, e-mobility, and the adoption of green hydrogen in India.