By proceeding, you agree to our
Terms And Conditions.
2025-02-21
The Indian government is planning to announce a new electric vehicle (EV) policy aimed to encouraging global EV manufacturers (including Tesla) to invest in India by significantly lowering import duties. The framework, originally proposed in March last year, suggests reducing import tariffs for premium EVs priced over $35,000 from 110 percent to 15 percent. However, OEMs will need to meet certain investment and production requirements.
To take advantage of the lower import duty, EV manufacturers must make an investment of a minimum of Rs 4,150 crores in the country. It is important to note that this total investment will not include expenses related to land acquisition, construction or past expenditures. Furthermore, OEMs will be required to achieve a turnover of Rs 2,500 crores by the second year. These turnover figures will gradually increase to Rs 5,000 crore by the fourth year and Rs 7,500 crore by the fifth year.
EV manufacturers that meet the above-mentioned criteria must submit their applications within 120 days of the official announcement of the new EV policy. Approved applicants will be permitted to import up to 8,000 premium electric cars per annum at the reduced duty rate. Under the new EV policy, it will be mandatory for OEMs to set up local manufacturing facilities within three years and achieve 25 percent domestic value addition. This value requirement will be increased to 50 percent within five years.
The American EV manufacturer, Tesla is expected to be the first beneficiary of the new policy, as the company recently posted several job openings in India, indicating its imminent entry into the Indian automobile market. Elon Musk and Prime Minister Narendra Modi recently met at the Blair House in the United States of America. As per media reports, Musk requested concessions and lower tariffs on imported EVs.
Also Read: BYD Sealion 7 Vs Rivals - Price Comparison
Discover the all-new 2025 Audi A6 sedan with refreshed styling, advanced tech features, and powerful engine options. Get all the details on design, interior, and performance.
Konica Singh
2025-04-18
Read More
Tata Sierra will be the next model to come with petrol, diesel and electric powertrain options - launch scheduled in the second half of 2025.
Amit Sharma
2025-04-18
Read More
Honda Elevate (WR-V) has achieved a 5-star safety rating in the Japan New Car Assessment Programme (JNCAP) crash test. Get more insights!
Konica Singh
2025-04-17
Read More
The 2025 Skoda Kodiaq has been launched in India, priced from Rs. 46.89 lakh. Get details on its new design, features, engine specs, trims!
Konica Singh
2025-04-17
Read More
Expected to be launched in 2026, the upcoming Kia Syros EV is expected to share its powertrain and underpinnings with the Carens EV.
Amit Sharma
2025-04-17
Read More
The next-gen Kia Seltos will get a new strong hybrid powertrain, which is likely to be based on the existing 1.5L, 4-cylinder, naturally-aspirated petrol engine.
Amit Sharma
2025-04-17
Read More
The Citroen C3 Dark Edition is priced in the range of Rs 8.38 lakh to Rs 10.19 lakh, while the Aircross Dark Edition is priced between Rs 13.13 lakh and Rs 14.27 lakh.
Amit Sharma
2025-04-16
Read More
All Over India
Stay Updated, Pay Less
Choose the Right Car
Multiple Finance Options
Monday - Saturday
10:00am - 6:30pm
+91 7947722777, +91 7479000444, +91 9311718549
contact@carlelo.com