Automakers to offer discounts on new vehicles against scrapping old models, says Nitin Gadkari

Minister of Road Transport and Highways Nitin Gadkari said in a social media post on the platform X on Tuesday, August 27, that several commercial and passenger vehicle makers have agreed to offer discounts on the purchase of new vehicles against the scrapping of older vehicles with a valid certificate of deposit.

Nitin Gadkari chaired the panel at the Society of Indian Automobile Manufacturers (SIAM) CEO's Delegation Meeting, which was held on Tuesday at Bharat Mandapam, New Delhi, where the executives addressed the various critical issues in the automobile industry.

“I am pleased to report that, in response to my recommendation, several commercial and passenger vehicle manufacturers have agreed to offer discounts for the purchase of new vehicles against the scrapping of older vehicles with a valid Certificate of Deposit,” said Gadkari in his post on platform X.

The passenger and commercial vehicle makers have agreed to offer 1.5 to 3 per cent discounts on new vehicle purchases against the scrappage of old vehicles, PTI reported after the SIAM meeting.

The minister also highlighted the importance of this initiative, which is to advance India's circular economy efforts to ensure that cleaner, safer and more efficient vehicles are on Indian roads.

“This initiative will significantly advance our Circular Economy efforts, ensuring that cleaner, safer, and more efficient vehicles are on our roads,” said Gadkari in his post on platform X.

Gadkari also congratulated the automakers that have taken up the initiative to participate in the Vehicle Fleet Modernization Programme and said he believes that other manufacturers will soon follow the lead and join in the mission.

“Congratulations and gratitude to the automobile manufacturers who have taken the initiative to participate in our Vehicle Fleet Modernization Programme. I trust that others will soon follow their lead and join us in this important endeavour,” said the union minister for roads and transport in the social media post.