Govt abolishes import duty on cars brought in for testing.

Automakers mostly test their vehicles in the UK, Japan, Korea, China and Taiwan. To encourage global automakers to test their vehicles in India, the Centre has decided to remove import duty on vehicles brought in for testing at its agencies such as International Center for Automotive Technology (iCAT) and Automotive Research Association of India (ARAI). At present, such vehicles attract an import duty of 252%.

India has become the sixth country to successfully provide testing and certification to foreign cars brought in the country. The duty concessions will make India competitive against the UK, Germany, China, Taiwan, Japan,” the MHI said at a conference.

With its focus on Atma Nirbhar and an aim to make India one of the top destinations for vehicle crash testing globally, the government has removed customs duty of 252% which is currently levied on cars being imported to India by notified testing agencies, said Mahendra Nath Pandey, Minister of Heavy Industries (MHI), Government of India(GOI).

According to the Minister, this will attract automakers from across the countries to avail the testing and certification facilities available in the country. The duty concessions will make India competitive against the UK, Germany, China, Taiwan, Japan,” he said at the ‘Towards Panchamrita’ event organized by International Centre of Automotive Technology (iCAT), Manesar.