The automotive industry said on Saturday that the Budget has no immediate steps to revitalize the industry that has experienced a chronic decline.
The industry however praised the government's efforts to increase the tax burden on imported vehicles and said it would help in the local production of such goods in the country.
"Industry truck Indians were waiting for a formal budget, which contribute to a revival of demand in the context of current and investment wider by industrial transmission BS-VI and on that side of the budget. Words do not I know , "SIAM President Rajan Wadhera said in a statement.
“SIAM has made specific recommendations on steps that can revitalize the need, such as the incentive-based parking plan; allocation of funds for the procurement of diesel buses for STUs and zero customs duties for lithium ion batteries, which seem to be under consideration, ”he added.
The body of car dealers FADA says the Budget does not have an urgent need to boost the automobile industry.
It was a pity that as part of the environment & # 39; s environment, no direct profit was announced in the automotive industry. Budget allocation of policies that undermine incentive-based incentives would be to strengthen the demand for commercial vehicles, ”said FADA President Ashish Harsharaj Kale.
While GST is not part of the Budget, it is pointing out that car value assessments will bring a lot of rest to the industry, he added.
The ACMA Auto Division, however, expressed satisfaction with the measures stated in the Budget particularly focused on rural economic development, production and infrastructure.
"We are pleased that the government has announced a Rs 1,000 crore ownership project for medium-sized companies including those in the automotive sector to focus on export, R&D and technology innovations," said ACMA President Deepak Jain.
Supporting traffic on customs duties on imported electric vehicles, Tata Motors President of Electric Commerce Activities Shailesh Chandra said & # 39; Make India & # 39; it has prioritized the government more value and job creation in the country.
He said "Travel for SKD / CKD models for EVs passengers is in line with & # 39; Make India & # 39; and encourage further development of electric vehicles in the country," he said.
This will further drive OEMs' efforts more closely with local operations and will ensure greater commitment to the country, Chandra added.
Reiterating a similar sentiment, Wadhera said that increasing the tax obligations of CKDs and SKDs in electric vehicles and CBUs in commercial vehicles are good steps for the Indian economy.
Mahindra & Mahindra Managing Director Pawan Goenka says changes in the structure of how things are done may not be enough to impact tomorrow, but it will certainly empower the economy in the long run.
In the same vein, India's Automobile Management Director Rakesh Srivastava said that capital inflows to PSU banks and tax reforms will encourage more liquidity in the market.
"Pressing the budget to boost infrastructure and assist the rural economy will help prevent slower traffic," he said on Twitter.
EY Tax Leader, Car Scientist Pramod Achuthan described the Budget as a mixed bag for the auto industry.
"Allocation of high industrial infrastructure is good … plan to develop electronic products along with high tax obligations import car parts and electronics industry is to promote electric vehicles in. I & # 39; re not in the direction of the GST reduction rate or the cess reduction, he said.
Finance Minister Nirmala Sitharaman on Saturday announced an increase in customs duties on all types of electric vehicles.