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Chinese demand for foreign luxury cars is waning as customers opt for more affordable Chinese brand models, often sold at big discounts, catering to their taste for fancy electronics and comfort. That is bad news for European carmakers like Porsche, Aston Martin, Mercedes-Benz and BMW that have long dominated the upper reaches of the world's largest auto market. A slowing economy hits the luxury market --------------------------------------------- A prolonged property downturn in China has left many consumers with little appetite for big purchases. Meanwhile, the well-to-do are becoming increasingly shy about publicly displaying their wealth, said Paul Gong, UBS head of China Automotive Industry Research. Many car buyers have been swayed by a 20,000 yuan (USD 2,830) trade-in subsidy offered by the Chinese government for purchasing electric and plug-in hybrid vehicles. People tended to purchase cheaper, entry-level cars where the discount will count more and those cars are mostly .
Significant regulatory transformations such as GST 2.0 and progressive customs reforms are likely to accelerate investment flows, promote EV adoption, and drive the next wave of Indo-Japan collaboration in clean mobility and advanced manufacturing, according to a report. With USD 43.3 billion in cumulative investments, Japan is India's fifth-largest foreign investor. A deeper utilisation of the Indo-Japan FTA will be key to driving competitiveness, enabling technology transfer, and advancing India's journey toward a sustainable, innovation-led automotive future, Grant Thornton Bharat and the Indo-Japan Chamber of Commerce and Industry (IJCCI) said in a joint whitepaper. "The convergence of GST 2.0 and targeted customs incentives marks a defining moment for India's automotive sector. Reduced tax rates, simplified compliance, and supply-chain-focused exemptions will not only elevate India's cost competitiveness but also strengthen its positioning as a manufacturing and export hub for .