India Approves EV Policy to Attract Global Players
Deccan ChronicleNew Delhi: In a move to make India as a manufacturing destination for electric vehicles or EVs in the country, the Centre on Friday approved the e-vehicle policy. As per the policy, a company will get three years for setting up manufacturing facilities in India and to start commercial production of e-vehicles, and reach 50 per cent domestic value addition within five years at the maximum. “The initiative will provide Indian consumers access to the latest technology, boost the Make-in-India initiative, strengthen the EV ecosystem by promoting healthy competition among EV players, leading to high volume of production, economies of scale, lower cost of production, reduce imports of crude oil, lower trade deficit, reduce air pollution, particularly in cities, and will have a positive impact on health and environment,” it added. On customs duty, the ministry also said that the duty of 15 per cent would be applicable on vehicles of minimum CIF value of $35,000 and above for a total period of 5 years, subject to the manufacturer setting up facilities in India within a three-year period. At present, cars imported as completely built units attract customs duty ranging from 60 per cent to 100 percent, depending on engine size and cost, insurance and freight value less or above $40,000.