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No, it's not that simple. Some of the regulatory capture that exists in India is layered on by existing companies like Tata and Maruti. These companies and exis

No, it's not that simple. Some of the regulatory capture that exists in India is layered on by existing companies like Tata and Maruti. These companies and existing relationships make it difficult for new entrants but wouldn't make it hard for existing firms to build and staff factories as they have been doing.

alephnerd 3y ago
EV Car Laws are a classic example of this. The only major EV Car manufacturer in India is Tata Motors. They lobbied the Indian government to set EV Car GST at 5% instead of 50% like it is for other cars. When Toyota India (and it's partners Maruti Suzuki and Hyundai India) started considering manufacturing Hybrids [0], Tata went on a lobbying blitz to prevent Plug-in Hybrids from getting similar tax treatment as EVs [1]. The Indian government ended up siding with Toyota [2] Oh, btw. This entire story only happened in the past 3 months. [0] - https://www.reuters.com/business/autos-transportation/toyota-lobbies-india-cut-hybrid-car-taxes-much-21-letter-2023-10-23/ https://www.reuters.com/business/autos-transportation/toyota... [1] - https://www.reuters.com/business/autos-transportation/tata-motors-urges-india-keep-hybrid-tax-toyota-seeks-cut-sources-2024-01-17/ https://www.reuters.com/business/autos-transportation/tata-m... [2] - https://auto.hindustantimes.com/auto/cars/nitin-gadkari-bats-for-hybrid-car-tax-sops-proposal-sent-to-finance-ministry-41711965444650.html https://auto.hindustantimes.com/auto/cars/nitin-gadkari-bats...
- Karrot_Kream 3y ago
  Yes I'm aware sadly. Have a friend of a friend involved in the 3 wheeler EV business in India. Not going to drop names because it's a small world.
  - alephnerd 3y ago
    Oof. Best of luck to them. I'm curious how they differentiate themselves from the Jugaad three-wheeler manufacturers. That seems to be where a lot of the demand and growth has been from what I've seen.

alephnerd 3y ago

EV Car Laws are a classic example of this. The only major EV Car manufacturer in India is Tata Motors. They lobbied the Indian government to set EV Car GST at 5% instead of 50% like it is for other cars. When Toyota India (and it's partners Maruti Suzuki and Hyundai India) started considering manufacturing Hybrids [0], Tata went on a lobbying blitz to prevent Plug-in Hybrids from getting similar tax treatment as EVs [1]. The Indian government ended up siding with Toyota [2] Oh, btw. This entire story only happened in the past 3 months. [0] - https://www.reuters.com/business/autos-transportation/toyota-lobbies-india-cut-hybrid-car-taxes-much-21-letter-2023-10-23/ https://www.reuters.com/business/autos-transportation/toyota... [1] - https://www.reuters.com/business/autos-transportation/tata-motors-urges-india-keep-hybrid-tax-toyota-seeks-cut-sources-2024-01-17/ https://www.reuters.com/business/autos-transportation/tata-m... [2] - https://auto.hindustantimes.com/auto/cars/nitin-gadkari-bats-for-hybrid-car-tax-sops-proposal-sent-to-finance-ministry-41711965444650.html https://auto.hindustantimes.com/auto/cars/nitin-gadkari-bats...

Karrot_Kream 3y ago
Yes I'm aware sadly. Have a friend of a friend involved in the 3 wheeler EV business in India. Not going to drop names because it's a small world.
- alephnerd 3y ago
  Oof. Best of luck to them. I'm curious how they differentiate themselves from the Jugaad three-wheeler manufacturers. That seems to be where a lot of the demand and growth has been from what I've seen.