UP's electric vehicle tax review sparks fresh jitters among automakers

Uttar Pradesh is the second-largest car market in India by volume, but when it comes to EV sales, the state currently ranks eighth

The State Transformation Commission (STC) of Uttar Pradesh (UP) on Thursday called a meeting with the transport department to “review” all tax exemptions given to electric vehicle (EV), just about two-months after the latter extended the road tax exemption for EVs for another five years, government officials told Business Standard.

 

This sudden rethink has unsettled the industry, with senior executives at major EV makers saying they are “deeply worried” that such policy “flip-flops” could undermine a segment that is still finding its feet in the state.

 

UP is the second-largest car market in India by volume, but when it comes