• Mar 9th 2009 at 11:56AM
  • 20
Should a tax on foreign-made pickup trucks that was first instituted way back in 1963 as a retaliation for a European tax on U.S.-bred chickens affect sales of modern and fuel efficient pickups from India in the United States? That's the question that Global Vehicles, hopeful U.S. importers of India's Mahindra pickups, is currently asking policymakers in Washington. The answer they are hoping for would rid the United States of the so-called chicken tax and would allow the importation of Mahindra's latest trucks, featuring clean diesel engines and around 30 miles per gallon, without the 25 percent tariff.

According to John Perez, CEO of Global Vehicles U.S.A. Inc., "We're seeking an exemption from Washington, based on the environmental benefits of what we're bringing in." Mahindra's new truck is scheduled to go on sale in the U.S. in October or November of this year for $22,000 to $25,000, meaning the tax would amount to over $4,000 on each of these vehicles.

[Source: Automotive News - sub. req'd]

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    • 1 Second Ago
      • 8 Months Ago
      Is this the same John Perez that was involved with the Aero or Crosslander? If so, you'll never see it.
      • 6 Years Ago
      If the "chicken tax" gets dropped, look for a floor of small pickups entering the USA market. Even pickups from Ford, GM.....
      • 6 Years Ago
      As much as I love Mahindra and their potential, I would like to see them be able to get their plant up and running in Ohio...
      • 8 Months Ago
      They need to concentrate on getting those vehicles to the US rather than trying to avoid the chicken tax. I need to trade in my clunker and this would be perfect.
      • 8 Months Ago
      I really want a smaller diesel truck - something to haul a horse trailer or boat - there are many small diesel options abroad but for whatever twisted reason and it surely isn't life style because diesel makes sense for highway-driving-Americans in comparison to hybrids - US manufacturing won't make the vehicle for the domestic market. Has anyone read about the small engine Cummins is working on - oh yeah, Chrysler owes them $44m and doesn't want to move forward with the project and GM killed their mid-size diesel engine project and neither Ford or GM (if GM still owns either Opel or Vaulhaul) will bring over their fantastic diesel cars from Europe so - what's left for someone with a small driveway that needs to occasionally move a trailer or boat? Let's hope Mahindra shakes things up in the U.S. - I'm going to test drive the truck and buy it if its available next year. But, maybe Mitsubishi, Hyundai, Nissan or Mazda will come to the U.S. market first with a diesel option - VW has a waiting list of people wanting to purchase a TDI Jetta - you'd think someone would notice;)
      • 6 Years Ago
      $25,000 for a cheap pick up truck?
      Resale value?
      No Thanks!
        • 8 Months Ago
        Rain, you don't what M&M is. This pick up is not cheap (in terms of its price , quality and durability) at all! Just wait for a a test drive and you will come to know :-)
        • 8 Months Ago
        30MPG diesel pickup. Maybe Chevy can buy them and bankrupt them.
        • 8 Months Ago
        Rain, for that price you also get low build quality.
        • 8 Months Ago

        This aint a cheap product. The product is good & durable but at a cheap & affordable price.
        Hope the taste of Indian product would always be spicy.
        This vehicle has more better looks than the competitors, so with competition coming in favour of customers.
        Customers like you & me gain much more than expected.
        So lets wait for the best.
      • 6 Years Ago
      This doesn't seem like the right time to drop the truck tariff.
      • 8 Months Ago
      i think if mahindra wants tio sell trucks here than they should let us build them or pay the chicken tax we need the jobs or the tax revenue
        • 8 Months Ago
        rick and similar thinkers: I'd love to see a great smallish pickup with good fuel economy being produced in this country. Clearly, Detroit and Japan, with the US-produced trucks from Toyota and Nissan, do not get it that many of us want something like this. Why should I and others continue to wait for a decent, fuel-efficient option in the smallish pickup market? Let's bring the global market to bear on the bad planning by the big automakers and see if they can respond.
        • 8 Months Ago
        i agree with you but,mahindra has said this whole time that they would be assembled in the united states. now they are trying to get out of assembleing them in the usa so they can undercut the usa car makers. i believe in fair trade but mahindra knew what it took to get these vehicles here if they want them here than they should build them here or pay the tax . thanks rick
      • 6 Years Ago
      sounds like many people doesn't know about mahindra.
      they have one of the best diesel technology.
      mahindra is not a cheap truck. It can be compatible with nissan line of pick ups.
      • 6 Years Ago
      Too expensive. They might as well keep them. They need to retail for $15K to 18K. They will be a very, very minor player @that price.
      • 8 Months Ago
      This looks like a vehicle that could also do well in the fleet sales market. If they intend to go after that market, I hope they pay good attention to the interior design. With the increasing use of radios and computer systems in vehicles by people in the fleet type businesses, I hope they keep the gear selection for an auto transmission on the steering column or dashboard. This allowes the mounting of communications and data systems in the accessable center of the vehicle, clearing the path for airbag usage.
      • 8 Months Ago
      I dont think quality will be an issue. Fit and finish maybe a problem (reviews I'v read knock carpeting and fit) but mechanically this truck gets great reviews in asian and aussie markets. I believe they have been making this as an SUV for eleven years now in India. The engine is based on M&M's small tractor engine that they have been making and selling in the US factories for decades.. the turbo single rail is all Bosch. They have three US factories and Mahindra is a respected quality name in agriculture right here and right now. I suspect the rural ares will be the best market to begin with.

      22k is pricey for what appears to be a low end truck. I
      ts green as can be though.
      I would "consider" one if it started under 20k and If I had a big enough paper bag to put over it's ugly self.
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