India’s Finance Minister Nirmala Sitharaman presented the Budget 2026 on February 1, 2026. This year’s budget brings some big changes for electric vehicles (EVs) and CNG cars.
If you are thinking of buying a Tata Nexon EV, Punch EV, or MG Windsor EV, this news could save you money. The government has made several announcements that could make these cars more affordable.
Big Relief for Electric Vehicles
One of the main highlights is Budget 2026: Nexon-Punch and Windsor EV will become cheaper. This is because the government has given tax relief on lithium-ion batteries and related raw materials.
Key points:
Custom duty exemption on lithium-ion batteries will continue.
Machines and equipment used to make batteries will get tax relief.
This exemption is not only for cars but also for Battery Energy Storage Systems (BESS).
How this helps
Making EVs will cost less.
Battery production in India will increase.
Popular cars like Nexon-Punch and Windsor EV may become more affordable.
BESS exemptions will also help the country use solar and wind energy more efficiently and connect it to the power grid.
Steps Towards Self-Reliant India
EVs need important minerals like lithium, cobalt, and copper. The Budget 2026 gives tax relief on machinery imported to process these minerals.
Finance Minister Nirmala Sitharaman said:
“We want to process minerals in India itself. This will reduce imports and make India stronger in the global supply chain.“
This will help the EV industry in the long run by keeping costs stable and supporting local manufacturing.
Biogas Blended CNG Will Be Cheaper
For CNG vehicle owners, there is also good news. The government changed the excise duty rules for biogas blended CNG.
What’s new?
While calculating excise duty, the value of biogas will not be counted.
What this means
Biogas CNG will become cheaper.
Owners of cars like Tata Tiago, Maruti Brezza, and Ertiga CNG will save money.
This step will also encourage the use of clean fuel and make it easier for middle-class families to drive.
How the EV Market Will Benefit
Experts say that Budget 2026: Nexon-Punch and Windsor EV will become cheaper will make more people, especially the middle class, consider buying electric cars.
Main benefits:
Lower EV prices: Cheaper batteries and production reduce the cost of cars.
More local battery production: Reduces imports and strengthens India’s EV industry.
Better use of clean energy: BESS will connect renewable energy to the power grid.
CNG relief: Cheaper and cleaner fuel options.
Impact on Tata and MG Cars
Tata Nexon EV and Punch EV are currently top-selling EVs in India. MG Windsor EV is also gaining attention with its new battery service model.
Production costs will go down, allowing companies to pass savings to customers.
Competition will increase, as other companies like Hyundai and Mahindra can launch new, cheaper models.
Middle-class buyers benefit: Buying an EV becomes more affordable.
Conclusion: A Budget for the Common Person
Budget 2026 shows that the government is focusing on clean energy, EVs, and making India self-reliant.
Tax cuts on lithium-ion batteries, BESS, and biogas CNG may reduce car prices.
Popular EVs like Nexon-Punch and Windsor EV will become cheaper.
CNG car owners will also pay less for fuel.
This is not just good for the industry, but also a relief for middle-class families.
In short, Budget 2026: Nexon-Punch and Windsor EV will become cheaper, and it could be a game-changer for the auto sector. If you are planning to buy a car, waiting for these new prices could save you money.
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