Govt may let carmakers import 2,500 cars/year without hassles

The ministry of road transport and highways may allow foreign carmakers to import 2,500 vehicles per year in order to promote local manufacturing. The carmakers will not have to go through the hassle of getting their vehicles certified in India if the models have already been homologated in the country of manufacture.

If the amendment is approved, then brands would be able to test the Indian market before taking a call on setting up local manufacturing operations. It will enable manufacturers to import up to 2,500 completely built units (CBU) or semi-knocked down units (SKD) without going through any certification process in India.

This proposal has been included in the June 6, 2018 notification for the amendment of the Central Motor Vehicle Rules 1989. Stakeholders have 30 days to submit their recommendations on the draft policy.

The move comes in the wake of increased taxes on imported automotive components introduced to encourage local manufacturing.

Source: Livemint