Import of Used Cars Opposed
Why has the Society of Indian Automobile Manufacturers (SIAM) opposed the Government’s plan of importing used cars to India?
Nobody is sure of the reason but some resources state that the SIAM has a doubt that trading of cars will greatly hamper the growing car industry in India. Importing can be a great risk to the Indian industry.
SIAM even has a doubt that the used cars imported in the country are among those that are thrown out. These are simply a waste for them and that’s the reason they trade out these cars. Should our government encourage such kind of trading? Would we actually benefit something out of this? No.
Then why the Government is supporting import of used cars?
Labels: Car-Import, Used-Cars
4 Comments:
I don’t understand why SIAM is opposing trading of used cars. In fact refurbished used cars will bring in new class and status to the country. People will get chance to buy something that is not available in India. Once the government approves free trade of used cars, other refurbished products will also enter the market with new vision.
I think SIAM is right in opposing the free trade of used cars in India. If I would be in that place I would have done the same. If everyone starts buying used cars then the new cars manufactured in India will definitely suffer. The Indian car industry will then face a heavy loss.
I just can’t make up my mind with what is right. Is SIAM really doing a good job, as Jaggy commented, or is it the other way round? I personally think that the country will progress faster with free trading of used cars and other refurbished goods. The country will get an opportunity to master new technologies and accept innovations, something that is in demand today.
I recently read in a newspaper that Japan has stringent pollution tax on passenger cars. In order to transfer the cost of pollution, the country is exporting re-manufactured or used cars to developing countries like Sri Lanka. If this is the case then by approving free trade of used cars, government is making India the next victim.
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