Electric trucks are fast becoming the backbone of India’s green mobility revolution. To promote sustainable transport, the Government of India has introduced multiple government subsidies for electric trucks in India 2025 under the FAME-II Scheme, state EV policies, and GST/tax incentives. These subsidies not only lower the upfront cost but also make electric commercial vehicles a profitable long-term investment.
In this article, we’ll explore:
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✅ All available EV truck subsidies in 2025
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✅ Detailed cost breakdown with and without subsidy
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✅ How to apply for FAME-II incentives
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✅ Documents required for subsidy application
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✅ State-wise EV policies and benefits
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✅ Frequently Asked Questions
Why Subsidies are Important for Electric Trucks in India
Electric trucks have higher upfront costs compared to diesel trucks due to expensive batteries. Without subsidies, adoption becomes slow. Government support reduces:
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Purchase cost of EV trucks
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GST rates (12% vs 28% for diesel)
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Road tax and registration charges
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Interest rates via special EV loans
👉 These benefits directly impact fleet operators, logistics companies, and small transport business owners.
Central Government Subsidy: FAME-II Scheme 2025
The Faster Adoption and Manufacturing of Electric Vehicles in India (FAME-II) scheme is the flagship subsidy program.
Key Highlights of FAME-II for Electric Trucks
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Valid till March 2025 (may extend under FAME-III).
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Incentives linked to battery capacity (₹10,000 per kWh).
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Maximum subsidy capped at up to 40% of vehicle cost.
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Applicable on approved models only (OEMs must be registered with FAME).
Costing Chart: Electric Truck with Subsidy vs Without
| Particulars | Diesel Truck (12T GVW) | Electric Truck (12T GVW) | EV Truck with FAME-II Subsidy |
|---|---|---|---|
| Ex-Showroom Price | ₹18–20 Lakh | ₹30–32 Lakh | ₹22–24 Lakh |
| FAME-II Subsidy Benefit | ❌ | ❌ | ₹6–8 Lakh |
| GST Rate | 28% | 12% | 12% |
| Road Tax & Registration | ₹1.2–1.5 Lakh | Exempted in many states | Exempted |
| Running Cost per km | ₹25–30 | ₹12–15 | ₹12–15 |
| ROI Period | — | 6–7 years | 3–4 years (with subsidy) |
💡 This table shows how government subsidies for electric trucks in India 2025 drastically reduce the payback period.
State-Wise Subsidies for Electric Trucks in 2025
Apart from the central FAME-II scheme, many states offer additional EV subsidies:
| State | Benefit for EV Trucks | Extra Perks |
|---|---|---|
| Delhi | Purchase incentive up to ₹1.5 lakh | Free registration + road tax waiver |
| Maharashtra | Subsidy up to ₹1 lakh per vehicle | Scrappage incentive for old diesel trucks |
| Gujarat | ₹10,000 per kWh capped at ₹1.5 lakh | Free road tax |
| Tamil Nadu | Road tax & registration waiver | Land incentives for fleet operators |
| Karnataka | 100% road tax exemption | Interest subsidy on EV loans |
👉 Full details available at Ministry of Heavy Industries – FAME India
How to Apply for Electric Truck Subsidy (Step-by-Step)
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Select an Approved Model – Check the FAME-II approved list.
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Dealer Submission – Dealer uploads invoice and vehicle details on the FAME portal.
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User KYC Verification – Aadhaar/PAN card + commercial license details needed.
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Subsidy Claim – Government directly reduces the subsidy amount from the invoice price.
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Registration Benefits – Claim state-level incentives at the RTO.
Documents Required to Avail Subsidy
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✅ Aadhaar Card / PAN Card
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✅ Business GST Registration Certificate
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✅ Commercial Driving License
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✅ Proof of Business (Transport company, fleet owner, logistics firm, MSME certificate if available)
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✅ Purchase Invoice from FAME-registered dealer
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✅ Bank account details for loan/subsidy transaction
Future of EV Subsidies: FAME-III Coming Soon?
Industry experts expect the government to launch FAME-III in 2025–26 to continue support for EV adoption. Likely focus will be on:
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Heavy-duty trucks and buses
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Charging infrastructure
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Local manufacturing of batteries
FAQs on Government Subsidies for Electric Trucks in India 2025
Q1. What is the maximum subsidy on an electric truck under FAME-II in 2025?
👉 Up to ₹6–8 lakh depending on battery size and GVW category.
Q2. Are subsidies available for all electric trucks in India?
👉 No, only FAME-approved models are eligible. Always check the official FAME portal.
Q3. Can individuals also claim subsidies or only fleet owners?
👉 Both individuals and businesses can claim subsidies if they buy from an approved dealer.
Q4. Do states like UP, Haryana, and Rajasthan also give subsidies?
👉 Yes, they mainly offer road tax exemption and reduced registration fees, but direct cash subsidy is limited.
Q5. Will subsidies reduce in future?
👉 Subsidy amounts may gradually reduce as EV adoption increases, but new policies like FAME-III will likely continue support.
Conclusion
The best government subsidies for electric trucks in India 2025 come from a combination of FAME-II incentives + state EV policies + GST/tax exemptions. For fleet operators and logistics businesses, these subsidies make electric trucks far more affordable and profitable in the long run.
If you’re planning to buy an EV truck in 2025, make sure to:
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Choose a FAME-approved model
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Apply for state-level incentives
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Keep all required documents ready
With these supports, India’s transport sector is set to shift towards sustainable and cost-efficient electric mobility.
