Tata Motors is reportedly urging Indian officials not to lower import taxes of 100% on
electric vehicles (EVs) and to protect the domestic industry and investors
During discussions with Prime Minister Narendra Modi's office and other departments, Tata has opposed the proposal, arguing that its investors made decisions based on the assumption that the existing tax regime, favouring local entities, would remain unchanged
Last month, it was reported that the Indian government is considering the possibility of implementing tax reductions on imported fully assembled EVs for a duration of up to five years
Tata Motors is reportedly urging Indian officials not to lower import taxes of 100% on electric vehicles (EVs) and to protect the domestic industry and investors, as the government evaluates Elon Musk-led US electric car maker Tesla’s plan to foray into the market.
While India is trying to boost domestic manufacturing and EV adoption, Tesla is looking to make a $2 Bn investment in India for setting up a local factory in the country, only if the government cuts import taxes on its EVs to as low as 15% during the first two years.