CHENNAI: Isuzu Motors which is setting up a greenfield plant in Sri City in Andhra Pradesh has locked horns with the customs department over categorization of its D Max range of pick-up trucks, on whether they are passenger or commercial.
Isuzu imports its Mu7 range of sports utility vehicles and D Max range of pick-up trucks from its Thailand plant for domestic markets. The company has received a homologation certificate from ARAI for commercial range of D Max. "We are in discussions with the customs department to clarify our stand," Shigeru Wakabayashi, deputy MD of Isuzu Motors told TOI. If disallowed by the customs department, the price of the pick-up would become unviable as it will attract higher taxes.
The company has initiated the process of vendor development and dealer development. While the greenfield plant will become operational only by 2016, the company has entered into an agreement with Hindustan Motors for contract manufacture of its vehicles from 2014. "We will use this period to understand the customer needs better," he said.
Isuzu imports its Mu7 range of sports utility vehicles and D Max range of pick-up trucks from its Thailand plant for domestic markets. The company has received a homologation certificate from ARAI for commercial range of D Max. "We are in discussions with the customs department to clarify our stand," Shigeru Wakabayashi, deputy MD of Isuzu Motors told TOI. If disallowed by the customs department, the price of the pick-up would become unviable as it will attract higher taxes.
The company has initiated the process of vendor development and dealer development. While the greenfield plant will become operational only by 2016, the company has entered into an agreement with Hindustan Motors for contract manufacture of its vehicles from 2014. "We will use this period to understand the customer needs better," he said.
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