As the auto assemblers anticipate jump in vehicle prices on account of spiralling raw material prices on world markets, another cost pressure has emerged following removal of export tax rebate by China on 146 kinds of steel products from May 1, 2021.
When asked whether the rupee’s rising strength against the dollar would offset the impact of a 13pc hike in steel prices after cut in rebate by China, he hoped that the powerful rupee would help to an extent in neutralising the impact on import of steel products.
The chamber urged the government to allow commercial import of used cars of models up to five years old besides a 50pc cut in tariff rates for import of used cars followed by restoration of depreciation to 50pc.