07:46 AM EST, 11/29/2024 (MT Newswires) -- Toyota Motor ( TM ) has inquired about the scope of India's plan to expand incentives for electric vehicle manufacturers, Reuters reported Friday, citing an unnamed source familiar with the matter.

The source told Reuters that officials are now planning to expand the incentives to companies building electricle vehicles at existing factories to encourage additional investments, according to the report.

The policy is expected to be finalized by March and according to the source, it will grant a substantial cut on import taxes to automakers that will invest at least $500 million and use 50% locally sourced components in electric vehicle manufacturing.

Reuters said minutes of a meeting with India's ministry of heavy industries showed that other manufacturers have shown interest in producing electric vehicles in the country. Citing the document, Reuters said Toyota ( TM ) had inquired if the investment threshold covers charging stations and if investments in a plant that produces multiple powertrains is also allowed.

Toyota ( TM ) and India's ministry of heavy industries did not immediately respond to MT Newswires' requests for comments.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)