Explained: Implications of 18% GST on EVs in India
The GST council meeting, chaired by Union Finance Minister Nirmala Sitharaman, is discussing next-gen reforms for various sectors, including automobiles. There are speculations of raising the GST on electric vehicles from 5% to 18%, drawing sharp reactions from the industry. This could lead to higher upfront costs, slower adoption, and impact on OEMs and startups.