Government Introduces New Plan for Imported Electric Vehicles

New Delhi Welcomes Auto Companies

On Tuesday, the government revealed a new plan. This plan lets auto companies import and sell electric vehicles (EVs) at a reduced duty. In exchange, these companies need to commit to investing in the country.

Highlights of the Plan

• Tesla has chosen not to take part in this plan.
• Chinese firms, like BYD, cannot join.
• About four to five companies have already shown interest.
• Tesla will import its cars at full duty and sell them through showrooms.
• The application period will stay open until early October.

What Participating Companies Need to Do

Heavy Industries Secretary Kamran Rizvi explained that companies applying for this plan must meet some conditions:

• They must produce a car with at least 25% local content within three years.
• They must raise the local content to 50% within five years.

This plan aims to grow the electric vehicle market in the country. It also pushes for investment and local production.