- Tata Motors opposes tax cuts on hybrid cars, stating they are more polluting than electric vehicles.
- Toyota calls for lower levies on hybrids, arguing that they reduce carbon emissions compared to gasoline cars.
Tata Motors, a key player in India’s electric car sector, urges the government not to cut taxes on hybrid cars, arguing they are more polluting than electric vehicles. While Toyota advocates for lower levies on hybrids, Tata contends that they should not be incentivised due to their lower tax rates than petrol cars. Tata emphasises the urgency of addressing India’s urban air quality crisis and argues that further encouraging hybrids would hinder climate goals and the economy.
This aligns with Tata’s strategy to safeguard its dominant market share against challenges from Tesla. Rivals Mahindra & Mahindra and Hyundai Motor also support maintaining the current tax policy, emphasising a level playing field and promoting local manufacturing.