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India has cut import duty in the budget of 2025, making it possible to return Harley-Davidson and Tesla. Harley will get the benefit of 10 percent reduction in tax on bikes up to 1,600 cc.
The government has reduced import duty on imported cars and bikes in budget 2025.
New Delhi. India has been a country of imported cars and motorcycles for a long time, even before foreign vehicle manufacturers started selling vehicles officially in India. However, most of them were from Japan and Europe. American car manufacturers tried their luck in Ford and Chevroolet India, but due to poor sales they had to stop the sale of their cars in India. Now, with imports cuts, can such companies return? Or can new car makers enter India?
How cheap will Harley’s bikes be?
Now, Harley will benefit here due to the reduction in import taxes for CBUs with engine capacity of up to 1,600 cc. The company will also benefit in the case of Semi-Nock Down (SKD) units as they have seen a 5 percent decrease in tax, while a fully knocked down (CKD) units will be charged only 10 percent instead of 15 percent.
Tesla’s entry also possible
It will also make a way for Tesla to enter India after a long battle with the Government of India, which is asking Tesla to set up a factory in India. In the budget announcement, the tax was reduced from 125 percent to 70 percent for luxury cars including station wagons and recarks priced above $ 40,000 (Rs 35 lakh).