The Indian government has cut the GST rate on lithium-ion battery packs from 18% to 5%. This means that the GST rate for the whole EV industry is now 5%. It is expected that this will lower the prices of electric vehicles in India. Since the battery makes up half of the cost of an EV. The Indian government has cut the GST rates on batteries for the second time. The government cut the GST from 28 percent to 18 percent in 2018.India’s EVs will get cheaper as the government lowers GST.
In India, the market for electric vehicles (EVs) has been getting hotter over the past few years, with more manufacturers setting up shops all over the country. In the past few years, there have been a lot of new startups on the market. Many have all-electric product lines. follow Stoptechy.
The government cuts GST rates on EVs.
The Finance Ministry said in a statement that electric cars can get a lower GST rate of 5% even if they don’t have a battery pack. The GST Council decided at its 47th meeting, which took place in Chandigarh on June 28 and 29. Nirmala Sitharaman, the minister of finance, was in charge of the meeting.India’s EVs will get cheaper as the government lowers GST.
This is a big boost for the EV business in India. The industry was looking for help from the government to get people to use electric vehicles in real life. In an interview with IANS, Akshit Bansal, CEO of Static, an electric vehicle (EV) charging network provider. This move will encourage the industry to pass on more cost savings to the users. It will also give people still looking for incentives to switch to the EV way of life the push they need.”
CEO of NITI Aayog Amitabh Kant said in December 2017. That the government was working to lower the prices of EV batteries.