In the fiscal year 2023–2024 budget, the government provided significant relief for HCV manufacturers.
According to the Finance Bill 2023-24 document, the customs duty (CD) on the import of completely knocked-down (CKD) buses and trucks has been decreased from 10% to 5%.
Bus and truck prices will probably be impacted by this. Even though the manufacturers might not raise the cost, the decline in CD will probably help keep prices stable for a while, which may be good news for the operators of goods and passenger transport services.
The import of agricultural tractors is now subject to a 15% CD imposed by the government. Details indicate that the government set the CD for these tractors based on their engine power.
According to a document, the government has imposed a 15% CD on tractors with engines ranging in power from 26 kW to 75 kW. Other than the aforementioned models, the CD for agricultural tractors is 10%.
Read more: Budget 2023-24: Huge Customs Duties Applied to the Import of Car Parts