Government Cuts GST on Tyres, ATMA Welcomes the Decision

Industry Applauds Tax Relief

The government cut Goods and Services Tax on tyres. The Automotive Tyre Manufacturers Association (ATMA) praised the move. The group said lower tax will ease costs for motorists and improve road safety.

Ending an Unfair Classification

Earlier, tyres sat in the highest GST slab at 28 percent. That slab also included luxury goods. ATMA argued the category was unfair. Tyres are essential, not luxury. The new rate corrects that issue.

Benefits for Different Users

ATMA Chairman Arun Mammen welcomed the step. He said farmers, small traders, transporters, and daily motorists will gain. Lower prices mean lower operating costs. The change also supports the logistics sector.

Tyres as Core Vehicle Parts

Tyres keep every vehicle moving. Trucks, buses, tractors, and even mining equipment depend on them. ATMA stressed tyres are not optional parts. They are central to safe and efficient transport.

Safer Roads Ahead

High prices often pushed owners to delay replacement. Worn tyres stayed in use far too long. That practice raised accident risks. With lower prices, replacement becomes more likely. Safer vehicles will mean safer roads.

Boost to Logistics and the Economy

Transport costs shape the entire supply chain. Cheaper tyres reduce those costs. Businesses, traders, and consumers will feel the relief. The logistics network will grow stronger.

Conclusion

The Automotive Tyre Manufacturers Association said the reform balances industry health and consumer needs. More affordable tyres will lead to timely maintenance. That will raise safety standards and improve efficiency across India’s transport system.

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