Tesla: Tesla execs’ visit: Govt still opposes tariff cuts

NEW DELHI: Ahead of the visit by a team of Tesla executives, the heavy industries ministry has made it clear it does not support any import duty reduction, which has been a key demand of the Elon Musk-led company.
While the list of demands from Tesla, which has been engaging with the government off and on, is unclear at the moment, the ministry had earlier nixed a proposal by Niti Aayog and the department for promotion of industry and internal trade (DPIIT) to lower duties for vehicles such as those manufactured by the company that is headquartered in Texas.
“A duty reduction has to be decided by the finance ministry, but we are not in favour,” said an official, adding there have been discussions around demands for tariff cuts under the proposed free trade agreements with the UK and the European Union. The recommendation of the ministry, which is the administrative agency for policies related to automobiles, carries a lot of weight.

Leave a Comment

Your email address will not be published. Required fields are marked *