Govt. won't charge 252% customs duty on imported test cars

The move is expected to attract carmakers from all over the world to use the testing facilities available in the country.

Automakers will no longer have to pay a heavy customs duty on cars imported for testing in India.

Heavy Industries minister Mahendra Nath Pandey has confirmed that the government has removed the customs duty of 252% levied on cars brought into the country for testing and certification. He also stated that this would attract carmakers from all over the world to use the testing facilities available in the country.

With this, India has become the sixth country to offer testing and certification facilities to foreign cars brought into the country. Currently, the UK, Germany, China, Taiwan and Japan offer similar concessions.

At present, there are four vehicle testing centres operating under the government's National Automotive Testing and R&D Infrastructure Project (NATRIP). These include iCAT in Manesar, ARAI in Pune, GARC in Oragadam and NATRAX in Pithampur.

Source: ET Auto