Automakers warn Canadian government for hiking diesel tax
|   Saturday, June 16, 2012
Government of Canada has recently decided to hike the tax on diesel which has raised the stress on automakers in Canada. The automakers have recently warned the government of Canada against their policy of hiking tax on diesel in Canada. The automakers have told government that this will surely affect the sales of diesel cars in Canada and also lot of people in Canada will face issues with their budget.

According to automaker, they are already facing lot of issues with the sale of their petrol cars in Asia, and now the hikes in diesel tax in can affect the sales of their diesel cars up to a great extent.
The association of foreign automakers in Canada has requested the Canadian government to take this policy back as far as possible for them.

Automakers told that with the hike in diesel tax in Canada, they have to drop the price of their diesel cars in Canada which will surely affect their budget and also affect their target for the current year.

According to the automakers, the government of Canada has hiked the tax on diesel with giving any prior information to them. The foreign automakers association in Canada has recently announced in a press conference that they are totally against the decision taken by the Canadian government.

The association requested the Canadian government to fins an effective solution of this problem as far as possible for them. The foreign automakers also indirectly told that the decision taken by the government of Canada can result in huge delay in launching of new cars in Canada and also result in cancellation of this car.

The association of foreign automakers in Canada has suggested two solutions of this problem to the Canadian government. On solution is that, if government wants to hike the tax on diesel then they must drop the sales tax on diesel cars, and second solution they have suggested is to simply cancel this decision.

According to a news channel of Canada, the hike in diesel tax will not bring lot of sales issue for the foreign automakers in Canada, but this will also bring lot of troubles for the Canadian automakers as well. The news has shown that in some of the past years the demand of the diesel cars was hiking year after year, and this policy by the Canadian government may result in dropping the demand or sales of diesel cars in Canada. The news channel also suggested the government to bring a decision on this matter that will be in favor of all automakers in Canada.

Government of Canada has given a statement recently that they have no plans to take their policy back, but they will surely consider all the issues of automakers in Canada, and will try to introduce an effective solution to this problem very shortly. Government also told that they will discuss this issue once again and if it seems to be possible, they may not hike the tax of diesel, however they clearly indicated that chance of happening of this is very less.
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