In India, Lamborghini offers a variety of ultra-luxury vehicles beginning at 3.16 crore. The Italian automaker sold 69 units in 2021, which was a record for the company.
Details about according to the CEO of Lamborghini, high taxes are preventing the expansion of the super-luxury car industry in India
According to Chairman and CEO Stephan Winkelmann, Lamborghini is on a development trajectory, but excessive taxes are restricting the growth of the super luxury car market in India.
Winkelmann stated in a virtual conversation that “India is a market for us that is on a growth path like most of the markets we have across the world.”
However, when questioned about what is preventing the country’s sales of super luxurious cars from increasing, he responded, “If we focus on the particulars of the Indian market, it is evident that its growth is constrained, much like that of other markets with high taxes. If we take a look at what is occurring in India, we must comprehend this.”
In India, Lamborghini offers a variety of ultra-luxury vehicles beginning at 3.16 crore. The Italian automaker outperformed its previous record in 2019 by selling a total of 52 units, recording its best-ever sales in the nation in 2021 with 69 units.
Currently, the GST rate for autos is 28%, while the additional cess rate varies by vehicle type and ranges from 1% to 22%. Completely constructed units (CBUs) of automobiles are subject to a customs charge of 60% to 100%, depending on the cost and size of the engine, and whether the value of the insurance and freight (CIF) is less than or equal to USD 40,000.
Regarding the effects of the global economic slowdown, he stated that while Lamborghini sells less than 100 cars annually, India is a vast market “in the sense of population.”
“So it’s not really a major change even though the Indian economy is slowing down; we’ll see what happens,” Winkelmann continued. “Right now, we are not seeing any negative impact with respect to our brand.
In terms of deliveries, Lamborghini saw an increase of 8%, or 7,430 units, globally between January and September 2022.
The first quarter of 2024 is already covered by our order portfolio, which gives us the peace of mind to work while deliberately anticipating the challenges that lie ahead of us, such as the first step toward hybridization starting in 2023, the executive stated.