India's 15% EV import duty cut fails to lure automakers
India rolled out a flashy new scheme last year to boost electric car manufacturing, offering a 15% import duty cut and hoping to attract big international brands.
But so far, no major automakers have jumped in.
The catch? The rules are pretty tough, with high investment demands and strict requirements that may deter some companies.
Lawmakers urge rethink of EV scheme
To join the scheme, companies would need to invest at least $500 million (about ₹4,150 crore), hit steep revenue targets, and quickly ramp up local production, starting with 25% domestic value addition by the third year, rising to 50% by the fifth year.
On top of that, India's free trade agreements already let some EVs in at lower tariffs, and many automakers aren't sure if enough people here will actually buy electric cars yet.
Lawmakers are now suggesting the government rethink these rules so more global players might get on board.