GST reduction, scrappage policy to help revive CV industry: Ashok Leyland

Auto industry body SIAM has been urging the government to reduce the GST rate on vehicles from 28 to 18 per cent, and to introduce an incentive-based scrappage policy

Reduction in GST rate and introduction of scrappage policy would help in reviving the commercial vehicle sector which has been facing headwinds for quite some time now, a top Ashok Leyland official said.

The Hinduja Group flagship company also expects the situation due to the current downturn in the industry, most recently due to the coronavirus pandemic, to improve gradually during the current fiscal.

"The answer is yes, it certainly will," Ashok Leyland MD and CEO Vipin Sondhi told PTI when asked if the GST rate cut on commercial vehicles would help in reviving the sector.

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