Big duty cuts in India on parts and cars key demand of European players

Continent's manufacturers say they can't compete with manufacturers from FTA countries; also seek elimination of non-tariff barriers, long-term EV policy

The European Business Group (EBG) Federation, which has the continent's top passenger car and auto component makers as its members, has asked for a sharp reduction in import duty on premium and luxury completely built units (CBU) passenger cars over 1,500 cc, to 50 per cent. Currently the duty on the CBUs of these new cars is in the 60-100 per cent range.

The advocacy group, a joint initiative of the European Commision and European business community in India, has suggested that two duties be merged into a single rate of 50 per cent.

Currently 100 per cent customs duty