Toyota
The home manufacturers denied halting the hybrid sales in our country, irrespective of the GST implementation, as was stated by N Raja, director at Toyota Kirloskar Motors. He also claimed to sell Toyota Camry which is 95% hybridised model offering which will see a 3 lakh increase in its price. With 600 units sold in the first half off the year, the company might push its sales in less targetted marketplaces like Maharashtra and other parts of the west.
Volvo Motors
The Sweden-based manufacturers who have begun to do well in Indian auto markets with its buses, and now expanding their arms with XC60 Polestar, XC90 and other offerings have called the GST rates as 'disappointing', as was stated by Volvo Auto India Managing Director Tom von Bonsdorff. Still, the company responded in affirmation about the continuation of their sales in hybrid section, despite the high taxes levied on them post GST implementation. They pledged to stick with the 'eco-friendly' vehicles which are the future of the traversing world. Recently, the company announced a discontinuation of ICE( internal combustion engine) and a shift to an all-electric vehicle manufacturing.
As was anticipated, GST has affected the hybrid vehicles with an increase in its overall pricing, bereft of FAME scheme benefits which now covers only the all-electric vehicles. At present, they carry a 43% cess, inclusive of 28% slot tax and 15% additional cess in contrast with the small cars levying only 29 to 31% of overall cess. 43% against previous effective taxation of 30.3% is a noticeable increase. It's just like the abrupt rise in the metro prices. For a layman, it is noticeable and would take a time to invest their trust in plug-in hybrids when they can do decent with fuel based or all-electric vehicles in the market.
