SIAM is the Apex National Body representing Indian Automobile Industry

Press Releases

  • SIAM welcomed the announcements by RBI

    17/04/2020 | New Delhi

    Society of Indian Automobile Manufacturers (SIAM) welcomed the announcements by RBI to support the NBFCs and the MSME sector by infusing liquidity in the system.

    While commenting on the RBI announcements, Mr Rajan Wadhera, President, SIAM, stated “COVID-19 has left the Indian economy and automobile industry in deep distress and financial support and demand revival is a necessity. SIAM is thankful to the RBI for its timely intervention that supports increased liquidity in the economy and also enables banks and NBFCs in providing finance to companies.”

    Mr Wadhera also said, “COVID-19 is an unprecedented situation and hence requires unique measures. SIAM is hopeful that the lending rates would be slashed substantially for consumers to benefit in these challenging times. We feel that Government will still have to take fiscal policy measures to revive the economy, consumer sentiments and demand.”

    SIAM has made a submission to the Government suggesting the following key interventions for supporting the automobile industry:

    • Temporary Reduction in standard GST rate by 10% across all vehicle categories / auto components while maintaining the current product segment GST rate differential. 
    • Introduce Incentive based vehicle scrappage scheme to generate demand. The incentives can be in the form of 50% rebate in GST, Road tax and registration charges.
    • Make fund allocation for Diesel/CNG bus procurement by STUs, over and above the allocation for electric buses under FAME 2 scheme.
    • Expeditiously release all pending payments to vehicle manufacturers and contractors of highway and infrastructure projects against past procurements by Central Govt, PSUs & State Govt agencies (e.g. STUs) to increase liquidity in the system.
    • Fast track disbursement of all govt incentives / benefits to all industries.

     

    The Automotive industry is the backbone of manufacturing sector in India in terms of employment and contribution to GDP and its revival will be critical for the Manufacturing Sector and Economy of India.

     

    About SIAM

    The Society of Indian Automobile Manufacturers (SIAM) is a not for profit apex national body representing all major vehicle and vehicular engine manufacturers in India. SIAM works towards supporting the sustainable development of the Indian Automobile Industry with the vision that India emerges as the destination of choice in the world for design and manufacture of automobiles. It also works towards facilitating the enhancement of the competitiveness of the Indian Automobile Industry, reducing the cost of vehicles, increasing productivity and achieving global standards of quality.

     

    For further details, please contact:

    SIAM

    Dikshant Negi
    dnegi@siam.in