The Society of Indian Automobile Manufacturers (SIAM) has withdrawn a letter to the Indian Ministry of Petroleum and Natural Gas that raised concerns about chloride and moisture contamination in E20 petrol.
The retraction follows intense scrutiny of the industry body's claims, which suggested that the ethanol-blended fuel could cause engine corrosion and operational issues for vehicles.
The controversy emerged after SIAM initially flagged potential quality control risks associated with the widespread rollout of E20, a fuel blend containing 20% ethanol.
The controversy emerged after SIAM initially flagged potential quality control risks associated with the widespread rollout of E20, a fuel blend containing 20% ethanol.
The letter sparked debate among automakers, fuel suppliers, and consumers regarding the long-term viability of the blend in India's automotive sector.
However, the industry group subsequently pulled the communication, signaling a retreat from its earlier stance.
The withdrawal aligns with recent findings that have dismissed allegations of engine damage linked to E20.