Import duties on bikes revised, CBUs to cost less

Turbanator · 21st February 2018, 18:57

BMW gets a reduction of 10 % or so

Here's the new list.

CrAzY dRiVeR · 21st February 2018, 19:12

Quote:

Originally Posted by Turbanator

BMW gets a reduction of 10 % or so

Here's the new list.

I happened to have the older list saved a couple of days back -

1200GS starting prices have reduced from 16.6L to 15.7L.

S1000RR reduced from 19.6L to 17.9L.

quickdraw · 23rd February 2018, 16:58

Please find attached import price and price with duties data for some popular motorcycles. You will get an idea to what extent we are getting ripped off from the likes of Kawasaki and Ducati.

BoltThrower · 23rd February 2018, 17:19

Quote:

Originally Posted by tharunkar

Is the Kawasaki Z900 going to be priced lower after this move? My friend has booked the Z900 and it is in transit and to be delivered in a week. I am wondering if there is a price cut , will we still gain since the bike has already been imported and on the way to us.

Has your friend already paid? Or if he is having it financed, has the bank already disbursed the amount? Too many times buyers have had to pay up extra because of the "prices are subject to change and those prevalent at the time of delivery are final" clause. Here you have the chance to turn the tables. I would advise speaking to the dealer.

nitrogary · 23rd February 2018, 18:46

Quote:

Originally Posted by quickdraw

Please find attached import price and price with duties data for some popular motorcycles. You will get an idea to what extent we are getting ripped off from the likes of Kawasaki and Ducati.

Very interesting data. It seems that only BMW are showing the same ex showroom price. The others are overcharging by huge amounts!

I can't imagine the surge in sales of Triumphs and Ducatis if the prices were kept so low!

Sawyer · 27th February 2018, 10:58

Quote:

Originally Posted by CrAzY dRiVeR

Don't know whether to be shocked at the aggression used

What is wrong with what he has said, if the US duty on Indian bikes is zero? Doesn't seem fair to me either, that state of affairs.

ani_meher · 27th February 2018, 12:22

Quote:

Originally Posted by quickdraw

Please find attached import price and price with duties data for some popular motorcycles. You will get an idea to what extent we are getting ripped off from the likes of Kawasaki and Ducati.

Wow man! Kawasaki and Ducati are simply ripping off Indian customers, while BMW/Triumph struggle to price their products accordingly. I hope they are taxed heavily against this profiteering.

CrAzY dRiVeR · 27th February 2018, 15:54

Quote:

Originally Posted by ani_meher

I hope they are taxed heavily against this profiteering.

It's not the companies at fault - but the government. Having such low import duties for only some countries and very high duties for some is not a very fair trade practice. The companies following it are legally correct in doing so.

High time something is done to have uniform less import duties atleast for vehicles above 800cc. In the end result, companies are not paying the import duty - its us costumers that end up paying 30/50/75/100% duty on some vehicles.

Looks like Trump is on it again today -

https://www.ndtv.com/india-news/harl...ffs-on-1817502

Quote:

Referring to his recent conversation with Prime Minister Narendra Modi, he said the "fantastic man" informed him that India has reduced tariffs on imported motorcycles, but the US was "getting nothing".

"Now, the prime minister, who I think is a fantastic man, called me the other day and said we are lowering it to 50 per cent. I said okay, but so far we're getting nothing. So we get nothing. He gets 50 (per cent), and they think we're doing -- like they're doing us a favour. That's not a favour," he said.

Quote:

"It's a great company. When I spoke with your chairman or the president of Harley, they weren't even asking for it because they've been ripped off with trade so long that they were surprised that I brought it up. I'm the one that's pushing it more than they are, but it's unfair. And India sells us a lot of motorbikes," Trump said.

Sawyer · 27th February 2018, 16:11

Trump says outrageous things every time he opens his mouth, and this is nothing to his proposal to arm teachers in US schools.

But on things like trade, he makes clever use of anomalies like the ones on tariffs to keep his voter banks happy; anomalies that are lobbied for by our industry leaders to keep competition away from our domestic markets while promoting exports. But like all anomalies, these can't survive forever.

ani_meher · 27th February 2018, 16:25

Quote:

Originally Posted by CrAzY dRiVeR

It's not the companies at fault - but the government. Having such low import duties for only some countries and very high duties for some is not a very fair trade practice. The companies following it are legally correct in doing so.
...
In the end result, companies are not paying the import duty - its us costumers that end up paying 30/50/75/100% duty on some vehicles.

https://www.ndtv.com/india-news/harl...ffs-on-1817502

My objection is not that we consumers have to foot the bill for taxes. My objection is to the insane profiteering by Kawasaki and Ducati because they price their products as if they are paying heavy taxes like the others. SO in this case, the price of a Triumph may be justified because of cost + taxes + profits, but Kawasaki and Ducati don't have the tax component as high as others, so their profits are multiple times than that of others.

Trump to the rescue again!

Sawyer · 27th February 2018, 16:31

Mods may please delete the post and this edit, thank you.

Sahil · 27th February 2018, 16:48

Quote:

Originally Posted by CrAzY dRiVeR

Looks like Trump is on it again today -

https://www.ndtv.com/india-news/harl...ffs-on-1817502

I wish Trump focused on cars instead of bikes. That's a bigger issue!
How much additional revenue can CBU Harley Davidson's really bring in even after this duty reduction!
Instead of pushing for Harley Davidson he ought to push Tesla into India with a lower tax rate. Elon Musk has been trying to convince our govt on this for a while.

CrAzY dRiVeR · 27th February 2018, 17:07

Quote:

Originally Posted by ani_meher

My objection is not that we consumers have to foot the bill for taxes. My objection is to the insane profiteering by Kawasaki and Ducati because they price their products as if they are paying heavy taxes like the others. SO in this case, the price of a Triumph may be justified because of cost + taxes + profits, but Kawasaki and Ducati don't have the tax component as high as others, so their profits are multiple times than that of others.

Trump to the rescue again!

I can understand your emotions. But I dont think there is any legal validity to it.

1. None stopped Triumph from importing via Thailand. Other companies are not from Thailand either, but they are using this government policy.

2. Prices have no legal obligation to stand true to import value + duty. Companies price products based on the amounts they wish to sell. They are free to prize it as crores of profit also, if people are willing to buy at those prices. Nothing illegal here.

3. Imagine the situation where prices by these companies were drastically lower than others. Triumph and BMW would have been dead by now. Imagine a Z900 selling at 5L and Street Triple at 8.5L just because of the difference in country of import?

If anything - its a legal loophole - and the unfair taxation is a direct result of the government policy. Has to stop / be rationalized. While "Make in India" initiatives do make sense, such restrictions on other countries will surely backfire soon.

Quote:

Originally Posted by Sahil

I wish Trump focused on cars instead of bikes. That's a bigger issue!
How much additional revenue can CBU Harley Davidson's really bring in even after this duty reduction!
Instead of pushing for Harley Davidson he ought to push Tesla into India with a lower tax rate. Elon Musk has been trying to convince our govt on this for a while.

Valid point.

But the main issue is - Harley is an American Icon that seems to be under immense stress recently, whereas Tesla is doing extremely well by itself. Hence the direct backing for Harley.

Related thread -

http://www.team-bhp.com/forum/superb...fits-down.html

Red Liner · 27th February 2018, 20:14

Yes, and harleys are also what all the rednecks see as making America great again. Tesla is a Californian hipster brand.

am1m · 28th February 2018, 11:26

Quote:

Originally Posted by Red Liner

Yes, and harleys are also what all the rednecks see as making America great again. Tesla is a Californian hipster brand.

Absolutely spot on! Trump's target vote-bank is more likely to identify with a company like HD than Tesla and that is the reason he's going on and on about HD.

Always good to have numbers in any discussion and an article in the news mentions that India exports less than 1000 bikes to the US! So much for his claim that 'India sells us a lot of motorbikes...'

These statements are really nothing different from the outrageous and inflammatory speeches that politicians the World over make to stir up emotions in their target vote banks. I'm sure no one in our government is bothered, they're very familiar with this tactic themselves!

27th February 2018, 16:11	#54
Sawyer Senior - BHPian Join Date: Jul 2009 Location: Pune Posts: 2,677 Thanked: 1,786 Times	Re: Import duties on bikes revised, CBUs to cost less Trump says outrageous things every time he opens his mouth, and this is nothing to his proposal to arm teachers in US schools. But on things like trade, he makes clever use of anomalies like the ones on tariffs to keep his voter banks happy; anomalies that are lobbied for by our industry leaders to keep competition away from our domestic markets while promoting exports. But like all anomalies, these can't survive forever. Last edited by Sawyer : 27th February 2018 at 16:12.
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27th February 2018, 16:31	#56
Sawyer Senior - BHPian Join Date: Jul 2009 Location: Pune Posts: 2,677 Thanked: 1,786 Times	Re: Import duties on bikes revised, CBUs to cost less Mods may please delete the post and this edit, thank you. Last edited by Sawyer : 27th February 2018 at 16:32.
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27th February 2018, 20:14	#59
Red Liner Distinguished - BHPian Join Date: Aug 2006 Location: Bangalore Posts: 5,209 Thanked: 18,044 Times	Re: Import duties on bikes revised, CBUs to cost less Yes, and harleys are also what all the rednecks see as making America great again. Tesla is a Californian hipster brand.
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