
The CEO of Bajaj Auto made this statement at the launch of the Freedom 125.
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The CEO of Bajaj Auto made this statement at the launch of the Freedom 125.
With the launch of the new Bajaj Freedom 125, the world’s first CNG motorcycle, Bajaj Auto has not just introduced a novel product but has also ushered in a whole new proposal about clean fuels that should make the Government of India rethink its GST structure for vehicles that run on alternate fuels. Echoing this thought was Rajiv Bajaj, CEO of Bajaj Auto, at the press conference of the Freedom 125 launch in the form of a suggestion and stated how the Government should review the GST rates of vehicles that run on clean fuels.
The bossman cited the examples of EVs, and how they are charged a minimal 5 per cent GST which is a good move. However, Rajiv Bajaj also stated that “no party” is happening in the EV segment, and how “unsustainable subsidies” are curbing the growth of other vehicles that run on clean fuels and yet attract 28 per cent GST.
Drawing comparisons with the two-wheeler markets in LATIN and ASEAN countries like Thailand, Malaysia, Indonesia, Brazil, etc — Rajiv Bajaj cited how the GST rate over here ranges between 8-14 per cent, and they were offering that despite the GDP in these counties were equal to, or higher in some cases than India. Due to this, the common man in these countries could afford the least, unlike in India.
The brand’s debut CNG bike aims to reduce the running cost of commuter motorcycle buyers by almost half. We have compared the Bajaj Freedom 125’s running cost with its traditional ICE competitors which you can find here. And if you want to know if the Bajaj Freedom 125 can disrupt the 125 cc segment and take on the segment leader, the Honda Shine 125, then head to the link here.
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