New Delhi | The government on Friday approved the E-Vehicle policy to promote India as a manufacturing destination, the Commerce and Industry Ministry said.

The policy seeks to promote India as a manufacturing destination for EVs and attract investment from reputed global EV manufacturers, it added.

Under the policy, a company will be required to make a minimum investment of USD 500 million or Rs 4,150 crore. It will also be entitled to various duty concessions.

"This will provide Indian consumers with access to the latest technology, boost the Make in India initiative, strengthen the EV ecosystem by promoting healthy competition among EV players, leading to high volume of production, economies of scale, lower cost of production, reduce imports of crude Oil, lower trade deficit, reduce air pollution, particularly in cities, and will have a positive impact on health and environment," the ministry said.