INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Budget 2020 had no direct stimulus for the demand-starved auto sector, but some duty rejig may go on to benefit select auto and
auto component players.
Finance Minister Nirmala Sitharaman on Saturday did not announce the much-awaited scrappage policy, even though the
per cent and on parts such as noble metal solutions and noble metal compounds platinum or palladium.
Lower allocation towards rural
development was seen as a big sentimental negative, while tweaks in the income-tax slabs are unlikely to push consumers to buy vehicles,
The FM raised rural credit target to Rs 15 lakh crore, but spends on key rural schemes have been reduced by 2 per cent to Rs 1,20,100
expected to rise 23 per cent YoY
Centrum Broking said increased customs duty on imported electric vehicles is a mixed bag, as most electric three-wheelers and two-wheelers
are already manufactured in India
Electric buses are also manufactured in India by Ashok Leyland and Tata Motors.
The move is seen as negative for imported electric cars such
as Hyundai Kona and MG ZS EV, as they will get expensive
But it will not impact Tata Motors and M-M, which make vehicles such as Tata Nexon EV, Tata Tigor EV and Mahindra e-Verito, in India, said
Kotak Securities.
The increase in duty of parts used for manufacture of catalytic converters from 5 per cent to 7.5 per cent would increase
Cummins and Bosch are two leading manufacturers of catalytic converters
slabs is also largely neutral for the auto sector
