Budget 2025: 7 Key Factors That Could Make LED/LCD TVs and EV Batteries Cheaper

The Union Budget 2025, presented by Finance Minister Nirmala Sitharaman, has set the stage for significant reductions in the prices of consumer electronics, particularly LED/LCD televisions, and electric vehicle (EV) batteries.

As the government continues to push its 'Make in India' initiative, these changes are expected to have a substantial impact on domestic manufacturing, cost reductions, and long-term sustainability in key sectors.

In this article, we’ll explore how the 2025 Budget aims to drive down the prices of LED/LCD TVs and EV batteries, and the seven key factors that could make these technologies more affordable for the average consumer.

1. Increased Domestic Manufacturing Incentives

One of the major highlights of the 2025 Budget was the government's commitment to boosting domestic manufacturing in sectors like electronics and electric vehicles. By increasing the Basic Customs Duty (BCD) on Interactive Flat Panel Displays (IFPDs) from 10% to 20%, the government intends to encourage local assembly and reduce reliance on imports. At the same time, the BCD on Open Cells and related components used in LCD and LED TVs was reduced to 5%.

These moves are aimed at correcting existing disparities in duty structures, which had made it more expensive to import certain components for manufacturing. By incentivizing local production, the government is paving the way for a reduction in costs for both consumers and manufacturers in the long run.

2. Complete Exemption of BCD on Open Cell Parts

In another groundbreaking decision, the Finance Minister announced a complete exemption of BCD on parts for Open Cells, which are crucial in the manufacturing of LCD and LED TVs. This exemption, along with a previous reduction in 2023-24, is designed to stimulate domestic production and reduce the cost burden for local manufacturers.

By making it easier and more affordable to source key components locally, the government is not only enhancing India’s self-reliance but also positioning the country to become a hub for cost-efficient LED and LCD TV manufacturing. This, in turn, will likely lead to lower prices for consumers.

3. Boost to Lithium-Ion Battery Manufacturing

For the EV sector, the 2025 Budget takes significant strides to enhance India’s position in the clean energy ecosystem. Sitharaman’s proposal to exempt 35 additional capital goods for lithium-ion battery manufacturing is a crucial step in ensuring that the domestic battery industry can meet the growing demand for EVs.

These exemptions will make it more affordable for manufacturers to invest in the technology required to produce high-quality, cost-effective lithium-ion batteries. With reduced production costs, manufacturers will be able to pass on these savings to consumers, leading to more affordable electric vehicles.

4. Support for Clean Energy and Sustainability

The Budget not only focuses on reducing costs for consumers but also aligns with India’s broader sustainability goals. By increasing incentives for lithium-ion battery production and other clean energy technologies, the government is fostering an environment where renewable energy solutions can thrive.

As battery costs fall, electric vehicles, which have traditionally been more expensive than conventional cars, will become more accessible to a wider range of consumers. This transition is essential for reducing carbon emissions and achieving India’s clean energy targets, while also contributing to lowering the overall cost of EVs and improving their affordability.

5. Increased Focus on Electric Vehicle Infrastructure

While the 2025 Budget provides significant relief in terms of manufacturing incentives, it also emphasizes the need for building robust EV infrastructure. By investing in charging stations, battery-swapping facilities, and smart grids, the government is aiming to address some of the key challenges that have hindered the widespread adoption of electric vehicles.

A well-developed EV infrastructure ensures a smoother, more convenient experience for consumers, which can indirectly reduce the cost of ownership. As the country moves toward a comprehensive EV ecosystem, the associated costs are likely to drop, making electric vehicles an even more attractive option for consumers.

6. Fostering Technological Advancements in Battery Tech

The 2025 Budget also anticipates advancements in battery technology, which is critical to both the affordability and performance of EVs and consumer electronics. Innovations in solid-state batteries, for example, promise longer-lasting, safer, and more energy-efficient solutions.

With the government’s focus on incentivizing domestic manufacturing of lithium-ion batteries and related technologies, we can expect a rapid pace of innovation. As newer and better battery technologies come to market, manufacturers will be able to offer more efficient and cost-effective products, further reducing the prices of EVs and electronics.

7. Long-Term Impact on Consumer Electronics and EV Adoption

While the immediate effects of the Budget may not lead to drastic price cuts, these policy changes lay the groundwork for sustained cost reductions in the long term. As local manufacturing capabilities grow, competition increases, and technological advancements continue, the prices of LED/LCD TVs and EV batteries will inevitably come down.

Over time, the cumulative impact of these measures will make both consumer electronics and electric vehicles more affordable, benefiting not only the environment but also the average consumer’s wallet.

Budget 2025 FAQ: How LED/LCD TVs and EV Batteries Could Become Cheaper