SPMEPCI Scheme to Attract EV Investment in India

Mumbai, Jun 27 (PTI) The Scheme to Promote Manufacturing of Electric Passenger Cars in India (SPMEPCI) will attract newer foreign players to invest and bring their EV portfolio to the country, Mercedes-Benz India CEO and Managing Director Santo Iyer said on Friday.

Speaking to PTI after unveiling two new sportscar models -- the all AMG GT 63 4MATIC+ and GT 63 PRO 4MATIC+ Coupe -- Iyer also said while demand momentum continues, 2025 is likely to be a year with marginal growth.

The two car models are priced at Rs 3 crore and 3.65 crore (both ex-showroom All India), respectively, the company said.

"I think it's a great scheme and a great initiative by the Ministry for Heavy Industries (MHI) to really come up with such a forward-looking scheme. But this scheme is primarily for new entrants who have not come into India," Iyer said.

Under the Scheme to Promote Manufacturing of Electric Passenger Cars in India (SPMEPCI), automakers will be permitted to import up to 8,000 EVs at a reduced duty rate of 15 per cent compared to the current 70-100 per cent, provided they commit to investing Rs 4,150 crore in local EV manufacturing.

"We have been in India for the last 30 years. We have already invested Rs 3,000 crore in the (Chakan near Pune) plant. And today, we are already producing two car models locally at this plant (much before the announcement of the scheme). So, I think, for us, it's business as usual.

"But I think this scheme will surely attract newer players, who are not yet in India, to invest and come with their electric cars," Iyer said.

On issues concerning rare earth magnets, he said in today's time, disruptions happen due to geopolitical issues or supply chain issues, but the company's colleagues involved in the backend are able to manage it quite well.

"As of now, we have no disruption in India because of any of these issues," Iyer asserted.

He said that the launch of AMG GT 63 4MATIC+ and the track-oriented GT 63 PRO 4MATIC+ represents Mercedes-Benz's strong commitment to India's growing community of performance motoring enthusiasts.

These vehicles embody the pure essence of AMG with uncompromising performance, precision engineering, and an emotional connect that only a hand-built AMG engine can deliver, he said.

"Indian customers have shown tremendous appreciation for Mercedes-AMG's high-performance vehicles, and the AMG GT range caters to this passion with technology and uncompromising performance, representing the pinnacle of automotive engineering," Iyer stated.