BMW India plans to launch three electric vehicles in the next six months
BMW will unveil its all-electric flagship SUV the iX in one month, followed by the all-electric MINI luxury hatchback in three months
According to a senior business executive, BMW believes that lowering import levies on electric cars (EV) for a limited time or for a limited number of units will help build demand, allowing for the manufacturing of such vehicles in India and the faster introduction of new technology. For the past 15 years, the company has been building many of its vehicles in India, and it believes that establishing demand is critical to manufacturing localization.
"What we always do is we create demand for a model and then localise it. We believe these new technologies also have a potential to be localised in future, but you need to create a mass demand for that critical mass (for local manufacturing to be viable)," BMW Group India President and CEO Vikram Pawah told PTI.
According to him, the only way to do so is to accelerate the process by creating demand before the infrastructure develops or by creating demand that will lead to the development of infrastructure.
"Then we can localise by that time these technologies which are mature and then we can apply it into the country," he added.
Pawah further said, "For that what we are seeking from the government is very simple thing, that yes, let us have some reduction in import duties, but only for limited time or limited quantities."
The rationale behind such a demand, according to him is "it will allow us achieve both the objectives. We will be able to keep manufacturing into India, and we will be able to bring these technologies quicker into India." Reiterating that the company has consistently maintained this stand, Pawah said, "That is what our consistency has been always that at any point any new technologies we should do that. It will allow even safety technologies, environment, green technologies to come into India faster."
India currently charges a 100% import duty on fully imported cars with a CIF (Cost, Insurance, and Freight) value of more than USD 40,000 and a 60% levy on those costing less.
To expedite its electric mobility adventure in India, the German luxury car maker has announced the launch of three electric vehicles in the next six months. To begin, the business will unveil its technology flagship all-electric SUV iX in one month, followed by an all-electric MINI luxury hatchback in three months.
After that, in six months, the all-electric automobile BMW i4 will be released.