The company, which is the third largest two-wheeler manufacturer, said that two-wheeler is an item for mass mobility and cannot be benchmarked against luxury and sin goods.
“Given the importance of the two-wheeler segment as an item for mass mobility, the GST rates for two-wheelers undoubtedly needs to be reconsidered. It certainly cannot be benchmarked against the prevalent GST rates for luxury goods at 28%, especially given the current state of inconsistencies with the integrated multi-modal public transport systems across India.” Venu Srinivasan, Chairman, TVS Motor Company said in a statement
He added that the transition to safety norms and BSVI emission norms will increase two-wheeler prices.
“It has become even more imperative to relook at the GST rates for two-wheelers to ensure social inclusion that is sustainable in the longer run.” Srivisan Said.
On the outlook of the two-wheeler segment, he said, “Rising urbanisation, increasing purchasing power and the enhanced need for connectivity particularly in the mid-sized and smaller cities across India, has fuelled the two-wheeler revolution for personal mobility”.
TVS Motor Company recently reported 6 per cent growth in total sales at 271,395 units in the month of December 2018. The two-wheeler major sold 256,870 units in December 2017, TVS Motor said.