Centre is close to approving a policy to extend the concessions on import duty on electric cars priced above Rs 30 lakh for 2-3 years, which may allow Tesla to enter the Indian market, The Economic Times (ET) reported on Thursday.
The report added that this is likely to be offered against bank guarantees by the US-based car maker for investment to build an electric vehicle (EV) factory in India.
Currently, India imposes 100 per cent import duty on cars that cost more than Rs 33 lakh, including freight and insurance charges. Below this threshold, a duty of 60 per cent is imposed.
