Dheeraj Hinduja, Chairman, Ashok Leyland

 The Budget not only reinforces India’s growth momentum but also lays a strong foundation for the country’s next phase of industrial and mobility-led development. With a clear emphasis on public capital expenditure, infrastructure creation, domestic manufacturing and clean energy, the Budget demonstrates confidence in sectors critical to India’s economic progress, including mobility and logistics.

 A defining feature of this Budget is the continued thrust on infrastructure. Higher public capital outlays, along with targeted investments in highways, freight corridors, ports, inland waterways, urban transport and logistics infrastructure, are expected to significantly boost economic activity. Infrastructure spending has a direct and positive correlation with demand for commercial vehicles, supporting freight movement, public transportation and last-mile connectivity across the country. The focus on metropolitan economic regions, industrial corridors, and the development of Tier II and Tier III cities further expands opportunities for mobility solutions while encouraging balanced regional growth.

Ease of doing business

The Budget’s emphasis on manufacturing and ease of doing business is equally important. Initiatives to strengthen domestic manufacturing capabilities, revive industrial clusters, support MSMEs and streamline regulatory frameworks will enhance cost competitiveness and supply-chain resilience. These measures advance India’s ambition of becoming a global manufacturing hub and enable innovation, localisation and scale within the automotive sector.

The strong focus on sustainability and energy transition is particularly encouraging for the mobility industry. Continued policy support for clean energy, green manufacturing and the EV value chain is expected to accelerate the adoption of electric mobility. For commercial vehicles and public transport, this transition presents an opportunity to improve operating economics while delivering better urban mobility outcomes.

In addition, the ongoing emphasis on defence modernisation and localisation creates opportunities for domestic manufacturers, strengthening self-reliance and supporting advanced mobility and logistics capabilities.

Aligned with long-term vision

At Ashok Leyland, we see the Budget as aligned with our long-term vision. Increased infrastructure spending supports growth across our key segments—M&HCV, LCV and EVs—while policy support for green technologies strengthens our investments in electric buses, alternative fuels and next-generation mobility solutions.

Overall, the Union Budget 2026–27 provides a strong impetus to enhance logistics efficiency, redefine mobility and build a cleaner, more connected future as India advances towards its vision of Viksit Bharat. Ashok Leyland remains committed to supporting this journey through innovative, reliable and sustainable mobility solutions.

The writer is the Chairman, Ashok Leyland

Published on February 1, 2026