India Inc Pushes Recycling, EPR to Cut Emissions and Boost Supply Chain Resilience

India’s push towards a circular economy in mobility and metals is gaining urgency, as industry leaders underline the dual imperative of lowering carbon emissions and building supply chain resilience in a geopolitically volatile world.

At Outlook Planet’s C3 2026 event, a panel discussion moderated by Souvik Bhattachariya, Director, Resource Efficiency & Governance at TERI, saw experts from the automotive and recycling sectors make a strong case for integrating recycling and extended producer responsibility (EPR) frameworks into India’s industrial strategy.

Rajesh Menon, Director General of Society of Indian Automobile Manufacturers highlighted how decarbonising upstream industries like steel could unlock export competitiveness, especially as global carbon regulations tighten.

“When you lower the carbon emission density of steel production, you will be able to leverage CBAM regulations… and that will make you very competitive,” said Menon, adding that such measures also strengthen supply chain resilience by reducing dependence on imports.

Menon emphasised that a robust steel EPR regime could support waste management, job creation and ecosystem development, calling it “a strong business case, not just a cost.”

Bhattachariya, steering the discussion, pointed to the importance of lifecycle emissions in electric vehicles (EVs). While EVs benefit from lower emissions during usage, their production, particularly the processing of critical materials, remains energy-intensive.

“When we are able to bring in secondary materials back into the value chain, that would significantly reduce this carbon footprint and make it more environmentally competitive,” noted Bhattachariya, framing recycling as key to bridging this gap.

The conversation turned sharply to India’s dependence on China for rare earth magnets, a critical component in EVs and electronics. Nitin Gupta, Co-Founder and CEO of Attero, acknowledged the current gap in domestic capacity but struck an optimistic note. “Do we have the capacity today? Answer is no, but do we have the technology to do so? Answer is yes,” said Gupta.

Gupta warned that an overwhelming majority of rare earth magnets are sourced from China, exposing India to geopolitical risks. However, he added that recycling could emerge as a viable alternative to mining. “India should be able to meet at least 60% of its rare earth oxides demand purely by recycling,” he said, noting that recycled materials can significantly reduce greenhouse gas emissions compared to mining.

Together, the panel argued that sustainability and self-reliance are no longer parallel goals, but deeply intertwined economic priorities.