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Luxury car makers seek duty rationalisation to boost volumes

Luxury car makers are pushing for lower import duties to unlock demand and expand India’s premium auto market.
Luxury car manufacturers in India are urging the government to rationalise customs duties on imported vehicles to improve affordability and demand. Mercedes-Benz India’s leadership highlighted that high duties constrain market growth despite rising consumer interest. Industry executives argue that duty adjustments could expand the customer base while supporting localization over time. Policymakers are weighing revenue implications against industry expansion goals.