Tata Motors shares slipped 0.79% to ₹684.70 on the NSE on Tuesday, after falling nearly 2% from the day’s high of ₹694.65. The decline came amid news that an Indian government panel has recommended a steep hike in taxes on luxury electric vehicles (EVs).
According to the proposal reviewed by Reuters, EVs priced between ₹20 lakh and ₹40 lakh could see their GST rate raised from 5% to 18%, while EVs priced above $46,000 (about ₹38 lakh) may face even higher consumption taxes. The panel argued that such vehicles are predominantly used by the “upper segment of society.”
The recommendation, if implemented, could impact Tata Motors’ premium EV portfolio, including its higher-end electric SUVs and upcoming models, at a time when the automaker has been scaling up its EV strategy.
At 2:37 pm, Tata Motors was trading at ₹684.70, down 0.79%, with a market capitalization of ₹2.52 trillion. The stock has a 52-week range of ₹535.75 – ₹1,105.
