Changes in India’s diesel vehicle tax could impact fuel mix portfolio, says Mercedes-Benz

The company's India unit MD Santosh Iyer said the govt's proposal for an additional 10% tax on diesel vehicles could speed up electrification since consumers may move to EVs or petrol.

The logo of Mercedes-Benz is seen outside a dealer | Reuters/Yves Herman/File Photo

New Delhi: Any change in taxation in India will change the structure of the fuel mix in Mercedes-Benz India portfolio, the automaker said on Tuesday in response to a proposal for an additional 10% tax on diesel vehicles.

“We will need six odd months to change our production planning processes but we can always vary and shift based on the demand as such,” said Santosh Iyer, managing director for Mercedes-Benz India.

The move could speed up electrification since diesel consumers may move to EVs or petrol, he said.

 

(Reporting by Aditi Shah; Writing by Blassy Boben)

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