A report by economic think tank GTRI said that electric vehicle (EV) manufacturing in India will increase its dependence on China for raw materials, mineral processing and battery production.
The Global Trade Research Initiative (GTRI) also said that a life cycle impact assessment of the electric vehicle industry is needed. The report said that electric vehicles release pollutants during the battery manufacturing, disposal and charging processes, and about 70% of the materials used to manufacture electric vehicles in India are imported from China and some other countries.
“Electric vehicles will increase India’s dependence on China for raw materials, mineral processing and battery production,” the report said.
China has purchased the largest lithium mines in Australia and South America. It processes more than 60% of the world’s lithium. It also processes 65% cobalt and 93% manganese.
Three-quarters of the batteries produced globally are produced in China, and more than 100 Chinese battery units produce 60% of the positive electrodes and 80% of the negative electrodes in lithium-ion batteries, the report said.
The report noted the impact of electric vehicles on employment and pollution, and listed 13 issues of interest to consumers, industry and government for assessment.
These issues include the high price of these vehicles, the suitability of EVs for long-distance travel, performance in extreme weather, increased demand for electricity, poor suitability for public transportation, increased dependence on China, no reduction in pollution, disruption to the auto parts industry, and insufficient lithium supply.
Ajay Srivastava, co-founder of GTRI, said: “Electric vehicles with lithium-ion batteries are an innovation in progress at best. We must understand the long-term impact of electric vehicles on employment, pollution levels, imports and economic growth.”
On the issue of pollution, it explained that a typical 500kg lithium car battery uses 12kg of lithium, 15kg of cobalt, 30kg of nickel, 44kg of copper and 50kg of graphite.
It also uses about 200 kilograms of steel, aluminum and plastic. The report adds that the mining, transportation and processing of these materials releases pollutants and carbon dioxide, leading to air and water pollution.
“Battery life is 6-7 years; then it needs to be recycled. Recycling is complex because batteries contain many toxic substances that are difficult to dispose of. Companies promoting electric vehicles talk about zero tailpipe emissions but are silent on mining and disposal costs,” the report said.
Furthermore, it said electric cars would only increase pollution because the batteries are charged with coal-fired electricity.
60% of India’s electricity comes from fossil fuels such as coal and oil, of which coal accounts for 50%.
“Electric vehicles make sense only if a majority of the electricity comes from renewable sources,” it said, adding that electric vehicles will disrupt India’s auto component industry, which has 700 organized and 10,000 unorganized manufacturers.
It also said electric cars would end the existence of hundreds of thousands of shops and garages selling spare parts, changing oil and servicing vehicles.
In addition, the report said that electric vehicles are not a global phenomenon and that the driving force comes from Europe, which is introducing a carbon border adjustment mechanism to protect its polluting industries and disrupt global trade.
“Charging ports for electric scooters are not standardized. Each company has its own charging port model. Unless charging ports are standardized, each manufacturer will have to set up separate charging infrastructure across the country,” it added.
