Mercedes Seeks Temporary Excise Duty Exemption for EV Import

Mercedes Benz B-Class Electric Drive was previewd under BlueZERO project

Mercedes-Benz has joined the bandwagon with Tesla appealing Indian government to provide temporary excise duty exemption for EV Import

German luxury auto manufacturer Mercedes-Benz has joined the bandwagon with Tesla to seek temporary excise duty exemption for importing electric cars in the country until the brand starts localised production for the EVs. As the Indian government is pushing forward to introduce all-electric mobility by 2030 across the country, several automakers are trying to grab a large share of the pie.

Mercedes-Benz India’s managing director Roland Folger has said the brand is investing heavily on new technologies with one of them being the electric mobility. He also indicated that by 2020, Mercedes would launch its all-electric car in the domestic market. But, before setting up localised production Mercedes wants to ensure a minimum consistent sales number for these EVs.


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Before the localised production begins, the temporary tax exemption on the imported electric vehicles would help the brand to keep their pricing lowered. Interestingly, Mercedes-Benz’s request comes just a few weeks after Tesla also made similar request to the Indian government. The American EV maker is gearing up to enter the Indian market with its most affordable and latest product Model 3 electric compact sedan in the country.

Not only Tesla and Mercedes, several other global auto giants too are showing keen interest towards introducing all-electric cars here focusing on the government’s plan of green mobility by 2030. Volvo too said that it would launch its first all-electric car in the domestic market by 2020. In that case, we would see a rising competition in the majorly untapped EV segment of the country.


Also read: Tata to Unveil Electric Version of Tiago at LCV 2017

Currently, Mahindra is the only auto manufacturer that sells all electric cars here. It has models like the e2o Plus and e-Verito in its portfolio. Apart from that, Nissan has confirmed that it will launch the Leaf EV here within a few years. Another homegrown automaker Tata Motors too is working on EV project. The brand is all set to unveil the Tiago EV at the upcoming LCV 2017 in England in September this year. Apart from that, it has also started trial runs of its electric buses in several cities across the country.