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Originally Posted by LLL  Thats one side of the argument.
Other side is that if imported cars are cheaper, then no manufacturer will build cars in india. We wouldnt have tatas, mahindras, marutis and hyundais in india and would be running just on cheap imports. so by making imported cars unaffordable, govt is pushing car manufacturers to build these cars in india. Else we would have seen innova and hondas getting imported from thailand.
That said, its the maturity of some manufacturers like maruti that they go ahead and build good cars in india, while some immature ones like nissan still prefer to import cars.
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Edit...that also makes me wonder....why are bongs using a nissan instead of a tata/mahindra or a maruti? |
I get it LLL. I was just giving an example as to how the perception of a car differs from country to country depending on what it costs.
An example of the connection between high duties and local manufacturing is ANZ: The indigenous car makers in those countries faded into oblivion when they dropped duties on imports. That example is often cited by Indian policy makers.
However that doesn't explain why taxes are so high on cars made in India and why the policy doesn't change with changing times. A car is not a luxury any more.