New Delhi, Oct. 14 -- India's recent goods and services tax (GST) rationalization is an important step, but its significance goes beyond simplifying tax slabs. The reform provides clarity that the auto industry has long needed. Yet, clarity alone is not enough. What matters now is how this policy can accelerate the adoption of cleaner and more sustainable mobility options that will define India's economic and environmental trajectory for the next decade.

We stand at a crossroads: the government has given the sector a cleaner baseline, but the real challenge and opportunity both lie in aligning the country's fiscal policy with its long-term green mobility goals.

For years, automotive taxation revolved around conventional parameters like ...