The Centre on Friday approved an E-Vehicle (EV) policy, which among other things, allowed limited imports of cars at concessional duty by an investor who is setting up a facility in India.

Electric four-wheelers at a charging station in Gurugram. (Vipin Kumar/ HT Photo)

This has paved the way for American EV manufacturer Tesla to enter the growing Indian market and may also help other foreign companies eyeing the country.

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“India will not provide enterprise-specific incentives in the electric vehicle sector. An EV policy has been launched in order to boost the sector, which is there for everyone,” a senior government official said on Friday requesting anonymity.

Tesla was demanding special concessions for investing in India, including concessional duty imports of EVs as a condition to set up its unit in the country, which New Delhi declined saying that the government does not give company-specific incentives.

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