Tweet
CBUs to now have only 50% import duty
-
-
Re: CBUs to cost less, as import duties reduced
News Approved
Rejoice this valentines day as your dream motorcycle should get cheaper with the government of India reducing Customs Duty to 50% for imported motorcycles!
Earlier, 800cc or less motorcycles used to attract 60% duty, while 800+cc bikes attracted 75%. Now the rates for both these categories have been slashed to 50%. This is only on CBUs (Completely Built Units), while CKDs (Completely Knocked Down) have seen a duty reduction from 30 to 25%.
Disassembled engine, transmission and gear box parts will now get more expensive in a bid to promote make in India. The duty has been increased from 10 to 15%. The government hopes to increase the production of parts in India by increasing this duty, since India has a strong component manufacturing industry.
The Central Board of Excise and Customs (CBEC) had issued this notification on the 12th of February.
The motorcycle industry for long has been pushing for a reduction in duty, since there is currently no local manufacturers who need protection and promotion in this segment. We hope that this benefit will be passed down to the end user by the big bike manufacturers.
Statement from Triumph Motorcycles:
Mr. Vimal Sumbly M.D Triumph Motorcycles India said- “ After the budget, this is a great initiative to cut import duties on CBUs, but for CKDs where local assembly is done in India, the import duties are increased by 5% and the FTA remains unchanged. We would urge the government to relook into this area.”
We will keep you updated on the price reductions by the companies as and when it happens.
Source: TOIBiking is not about what you have between your legs, its all about how well you use it!!!!!!!
Give your details here if you want to help your fellow xBhpian stranded in your city
Touring Blog: Cycling in Mongolia! -
Trump unhappy over import duties on motorcycles
Donald Trump slams India for high import tariffs on Harley-Davidson - Moneycontrol.com
""We have -- if you are Harley Davidson, you have 50 to 75 per cent tax, tariff to get your motorcycle, your product in. And yet they sell thousands and thousands of motorcycles, which a lot of people don't know, from India into the United States. You know what our tax is? Nothing," he told the lawmakers and his other Cabinet colleague."
Comment
-
Re: CBUs to cost less, as import duties reduced
Which bikes are CBU in India? Can anyone provide a list of CBU bikes?Comment
-
Re: CBUs to cost less, as import duties reduced
Can't remember specifics, but off the top of my head.
Indian Motorcycle
Ducati
MV Agusta
Honda
Suzuki
mostly have CBU models.
Harley, Triumph, Benellis, Kawas have mostly CKD models. The prices of these might go up.
----consecutive posts auto-merged-----
Also see: https://www.ndtv.com/india-news/dona...vidson-1812557
!!!Biking is not about what you have between your legs, its all about how well you use it!!!!!!!
Give your details here if you want to help your fellow xBhpian stranded in your city
Touring Blog: Cycling in Mongolia!Comment
-
Re: CBUs to cost less, as import duties reduced
CKD reduced from 30% to 25% - why would prices go up?Originally posted by The Monk View PostComment
-
Re: CBUs to cost less, as import duties reduced
Originally posted by manishh View Post
This:
Disassembled engine, transmission and gear box parts will now get more expensive in a bid to promote make in India. The duty has been increased from 10 to 15%.
Check the link shared by Hyper in the first postBiking is not about what you have between your legs, its all about how well you use it!!!!!!!
Give your details here if you want to help your fellow xBhpian stranded in your city
Touring Blog: Cycling in Mongolia!Comment
-
Re: CBUs to cost less, as import duties reduced
Reduction from 75% tax to 50% tax means the prices should get cheaper by 15%. A Rs.10 lakh CBU bike should now cost 8.5 lakhs if the company passes the benefit on to customers.
This will make the 650ccs in the market shaky! Why to buy 650 when a 800/1000 is only at 10% more cost? Curious to see any updates by a motorcycling company.Comment
-
Re: CBUs to cost less, as import duties reduced
Finally Trump bought something good for us Riders.
I fully Appreciate his comments. No matter whether it is good or bad for us.
Our manufacturers can make bigger bikes too, but there is no Market, because of these heavy taxes.
Now, with this, Everyone can try to make better products and sell it to their customers.
Our government never provided any kind of support to employees and couldn't bring reasonable laws to protect employees. These companies are afraid to start anything in India because they are afraid of unions, which were formed by employees. Government taxed companies heavily and forced them to make in India. Now the pressure will be on our Exports.
Now the only solution is to fix the system or pay taxes in other countries. So, something good might come up. If not, our IT and other services will be taxed in EU and US. Bang bang.Comment
-
Re: CBUs to cost less, as import duties reduced
I guess the biggest benefiters would be CBU imports not from Thailand right, especially Harley, BMW, Yamaha.
If I remember correctly the MT-09 was a CBU import from Japan? So the new one launched in November would become cheaper by ₹1.5lakhs I guess bringing it below the ₹10 lakh ex-showroom.
At ₹9.xx lakh the MT-09 would be bang for buck for what it offers and will compete strongly with it's new rival Street Triple RS.
Cheers!Comment
-
Re: CBUs to cost less, as import duties reduced
So only Triumph and Benelli will be very unhappy due to their recent investment in CKD assembling!
"Who are the gainers?
The brands that are likely to benefit from the reduction in custom duties include Aprilia, BMW Motorrad, Yamaha, MV Agusta, Indian Motorcycle and Moto Guzzi. As these brands bring their motorcycles via the CBU route, we can expect their products to be much more affordable. However, manufacturers are still working out the impact of the reduction of duties and will be sharing a revised price list soon."
Source: https://www.autocarindia.com/bike-ne...reduced-407297Comment
-
Re: CBUs to cost less, as import duties reduced
No, that's for individual parts, not for assembled subunits. Complete engines and transmissions, even if outside the bike as they would be for a CKD, won't attract the higher cost.Originally posted by The Monk View Post
So if you hole a piston or break a transmission gear on your new Hayabusa, the new part will cost a little more, but if you blow the motor, a complete motor won't cost more than before.ATGATT: All The Gear, All The Time!
Current bike: Yamaha XT1200Z Super Tenere
Put the phone away, put your helmet on, and ride!
Scooters are like fat girls: fun to ride, but embarrassing if your friends see you with one.Comment
-
Re: CBUs to cost less, as import duties reduced
Originally posted by jazzysaravana View Post
I think everyone gains something. Even Taxes on CKD have been reduced slightly. So, everyone has something in it. Yes. the CBU bikes will see a price cut of 1L. thats good for everyone.Comment
-
Re: CBUs to cost less, as import duties reduced
That's what i thought as well at first glance. But Benelli and Triumph disagree. Which leads me to assume, that even the engine and transmission is assembled in India for these two manufacturers.Originally posted by The Mountain View PostBiking is not about what you have between your legs, its all about how well you use it!!!!!!!
Give your details here if you want to help your fellow xBhpian stranded in your city
Touring Blog: Cycling in Mongolia!Comment
-
Re: CBUs to cost less, as import duties reduced
If the cbu duties are dropped to 50% from 75% then won't the prices drop by 25%? On ex showroom?
If my math is correct.
Please can someone elaborate?Comment
Comment