Mercedes: No EV Market Yet in India

India hasn’t yet become a viable market for electrified cars because of a lack of supportive government policy, says the head of Daimler AG’s Mercedes-Benz in the country, The Economic Times reports.

India has declared that its goal is to ban all but fully electric vehicles by 2030. But the government has passed no law mandating the result. Nor has it taken decisive action to set up a roadmap to encourage electrification.

Mercedes’ Michael Jopp tells reporters that EVs stand no chance of success in India without a government policy that clarifies infrastructure plans, sets up sales incentives and creates a cost structure that helps make electrics more competitive with piston-powered alternatives.

Jopps says imported EVs currently face high import duties that alone make them uncompetitive. ET notes that India currently levies a 100% tariff on foreign cars that cost more than $40,000.

 Jopp urges the Indian government to consider a plan to support plug-in hybrids. Because such vehicles use electric power but also can operate like a conventional car, they would help India transition to all-electric vehicles.