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India Court Lifts New Delhi's Diesel Ban

  • Top court allows diesel vehicle registrations after 1% levy
  • Autos with 2-liter or larger diesel engines banned in December
Updated on

India’s highest court allowed registrations of large diesel vehicles in New Delhi while introducing a new levy on purchases, lifting a ban automakers including Toyota Motor Corp. and Mahindra & Mahindra Ltd. panned for hurting demand.

A 1 percent levy will have to be paid to register the vehicles in the national capital region of the country, reported BloombergQuint, a partnership between Bloomberg and Quintillion Media in India, citing the decision Friday of the Supreme Court in New Delhi. Mahindra’s Executive Director Pawan Goenka said the automaker is “very relieved,” while Daimler AG’s Mercedes-Benz rejected the levy’s premise that its vehicles pollute the environment.