Economy

Automobile manufacturers seek excise duty cuts

Amiti Sen New Delhi | Updated on March 12, 2018 Published on June 16, 2014

SIAM representatives hold talks with Commerce Minister

Automobile manufacturers met Commerce Minister Nirmala Sitharaman on Monday to press for continuing with the reduced excise duty on cars, two-wheelers and commercial vehicles brought about in the interim Budget earlier this year and also slashing them further in some segments.

The duty cuts, announced in mid-February as part of the interim-Budget by the UPA Government, are set to lapse on June 20.

Sitharaman, who had already heard some concerns flagged by the automobile industry in her interaction with industry chambers last week, held a separate meeting with the representations of the Society of Indian Automobile Manufacturers here.

“Discussed issues facing automobile industry with representatives of SIAM,” Sitharaman tweeted after her meeting.

Excise duty cut

Excise duty on small cars, scooters, motorcycles and commercial vehicles were brought down to 8 per cent from 12 per cent in the interim-Budget announced in mid-February by the then Finance Minister P Chidambaram. Duty cuts were also made for SUVs and large cars from 30 per cent to 24 per cent.

SIAM, in a letter to the Revenue Secretary last month, had sought further lowering of duties on large cars to 20 per cent from 24 per cent and simplification of the excise duty slabs on cars by moving to a two-tier system from a three-tier system.

The Commerce Minister also met the representatives from the National Solar Energy Federation who discussed the state of solar energy production in the country and the need to promote cheaper power production.

Published on June 16, 2014
null
This article is closed for comments.
Please Email the Editor