Additional 19.5% Tax on Big-Engine Cars in Budget 2026-27

Why this matters: an automotive development that could shape industry direction or buying decisions.

The upcoming Budget 2026-27 proposes a new carbon levy of up to 19.5% on large combustion engine vehicles. Here is a summary of the proposed auto policy changes under review. Proposed 10% to 19.5% Carbon Levy on Big Engine Vehicles Under the planned taxation framework, petrol and diesel vehicles wit