New Delhi, April 25 -- The Indian government is considering revising its flagship electric vehicle (EV) manufacturing policy-Scheme to Promote Manufacturing of Electric Passenger Cars in India (SMEC)-based on outcomes from ongoing bilateral and free trade negotiations, a senior official confirmed.

Discussions with the US, EU, and UK may result in significant tariff reductions on imported EVs, potentially as low as 15 percent.

If trade agreements conclude with similar or better terms than SMEC, the policy may be adjusted to retain its appeal to global automakers.

Launched in March 2024, SMEC aims to position India as a global EV hub. The scheme requires a minimum investment of Rs 4,150 crore (USD 500 million), and mandates commercial pr...