In order to promote the domestic assemblies of electric vehicles, the Indian government has reduced the import duty on electric vehicles and other components to 10-15%. So far, to import the parts of these vehicles to India, imports of 15 to 30% had to be imposed.
Central indirect taxes and customs boards (CBIC) have kept the parts and components of electric vehicles in different categories. Due to which the import duty reduced by 10 to 15%. Apart from this, the CBI has also removed the exemption of import duty paid on the battery pack of electric vehicles and doubled import duty on mobile phone battery pack. After this decision, the battery pack of electric vehicles will now have to pay 5% of the import duty, while double the mobile phone battery i.e., the import duty will be up to 20%.