Tesla way to India may be easy now as Ministry of Commerce and Industry has introduced new policy to boast the EV manufacturing and also relaxation in import taxes.
The Ministry of Commerce and Industry announced new electric vehicle (EV) policy to likely to boast Tesla a American car maker to come to India and set-up operations.
The Government new policy will lower the import taxes on certain electric vehicle(EV) who commit to invest minimum Rs 4150 Crore($500 Mn) in addition to build domestic manufacturing unit in India.
The company invest $ 500 million will get be granted for 3 year period to establish local manufacturing facilities for electric vehicles (EVs), ensuring that at least 25 per cent of the components are procured domestically.
Manufacturer or Businesses satisfying this term will permitted to import 8000 Electric Vehicle(EV) annually subject to a reduced import tax of 15 % for vehicles priced at $35,000 and higher. India imposes import taxes ranging from 70 % to 100 % on imported cars, depending on their value.
With this new government policy Tesla who is negotiating with the Indian authorities from long time can come to an end as this is suitable for the automaker.
We can soon see Tesla and other electric vehicle (EV) brands running on Indian road. Also on top of that the automobile industry can contribute to Indian economy on top notch.
