Audi, a company owned by Volkswagen, said that if India reduces taxes on electric vehicle (EV) imports, it would help them try out different car models and pricing strategies in India, which is the world’s third-largest car market. Balbir Singh Dhillon, who heads Audi India, mentioned that a window of three to five years with lower import duties would allow them to figure out which car models would be suitable for India and make pricing more competitive. They’re considering local assembly of some electric cars, but specifics like timing and which models are still being discussed with their parent company in Germany.
In related news, Tata Motors is testing electric vehicles (EVs) in global markets and plans to open dealerships in India. Audi is working to catch up with its competitors like BMW and Mercedes in transitioning to electric vehicles. Right now, Audi India only produces traditional gasoline engines locally, which are used in their petrol cars.
India’s commerce minister, Piyush Goyal, mentioned earlier in the week that the government intends to consult with the automobile industry to create a new policy that encourages more investment in EVs. India aims to promote greener transportation, with a goal to increase electric car sales to 30 percent by 2030, up from the current low level of 2 percent. Luxury EVs currently make up a small portion of this effort.
Audi India recently launched four electric car models, making a total of six out of their 16 models in India electric. These electric cars are fully imported and are sold in India at prices ranging from roughly $136,000 to $234,000.
