Parliament was informed that there is currently no proposal to grant subsidies on import duty for electric vehicle imports into the country. Minister of State for Commerce and Industry Som Parkash highlighted the government’s focus on implementing policies to foster industrialization, domestic value addition, and global competitiveness.
In response to a question in the Lok Sabha, Parkash clarified that there are no plans to provide exemptions from local value addition costs or subsidies on import duties for electric vehicles in India.
Additionally, he mentioned the government’s launch of the Production Linked Incentive (PLI) scheme, aimed at boosting domestic manufacturing in the automobile and auto component industry, including electric vehicles and their components.
The PLI scheme encourages the establishment of large-scale manufacturing facilities in the country with a focus on advanced automotive technologies, encompassing a total of 50 GigaWatt hours (GWh).
This response comes amidst speculation about whether the government is considering exemptions or subsidies for multinational car companies like Tesla in the electric vehicle sector.
