New Delhi: The auto industry had high hopes regarding Budget 2023. The entire auto industry was waiting for some big announcement from the government, especially for the electric vehicle and the fame subsidy received on it. But during this time, Finance Minister Nirmala Sitharaman talked about promoting only electric vehicles from the government. Although during this time the Finance Minister talked about the promotion of alternate fuel and biofuel, it does not seem to have any direct impact on the auto sector at the moment. Although the Finance Minister has definitely talked about reducing the import duty on Lithium Ion batteries, which indicates some relief to the buyers of electric vehicles, at present, it is not clear how much this import duty has been reduced.
The auto sector had high hopes for electric vehicles. There was a big reason for this too. Because the government has been serious about pollution for some time and efforts are being made to reduce carbon emissions, the government did not make any major announcements on EV. At the same time, there was a demand from the auto manufacturers that the rate of GST on the parts of electric vehicles should also be reduced by making them uniform, but this did not happen.
Nothing big about the battery
Regarding battery and battery packs, it was believed that the government would give some relief by giving some kind of subsidy or some tax relief, but the Finance Minister did not make any such announcement during the budget. Although a big plan was talked about for battery disposal, in such a situation, EV customers are not getting any kind of benefit now.
Fame subsidy did not increase
On the other hand, regarding the fame subsidy, it was believed that apart from increasing it, the government can also increase its duration. But this did not happen. Now the date of subsidy is going to end on 31st March. In such a situation, EV customers will not be able to get the benefit of a subsidy between Rs 1 to 3 lakh. Although the auto industry is still hopeful that the government can extend the period of fame subsidy.
