Shares of auto companies will be in focus heading into trade on Monday as India and the European Union look to finalise the Free Trade Agreement framework before the Union Budget 2026. A key part of the talks between the EU and India revolves around the Indian government potentially cutting car import tariffs for EU carmakers.
Over the weekend, Reuters reported that India is planning a major cut in import tariffs, marking the biggest ever easing in the country’s tightly-protected automobile market. The import tariffs for EU carmakers could be slashed from 110% to 40%, thus offering greater market access for European companies to one of the fastest-growing automobile markets in the world.
Given that the EU is already home to some of the biggest car brands in the world, including the likes of Ferrari, BMW, Mercedes, Audi, Volkswagen and Lamborghini, among others, the move could have serious implications for India’s premium automobile market.
Read full story: Tata Motors, Hyundai And Other Auto Stocks In Focus As India Mulls Tariff Cut For EU Carmakers
