The 2025/2026 national budget was described as "for the people" by Visham Babwah, president of the TT Automotive Dealers Association (TTADA), who welcomed policy shifts aimed at making vehicle ownership more affordable while closing loopholes that allegedly drained foreign exchange reserves.

Finance Minister Davendranath Tancoo, in presenting the budget on Monday, announced a suite of tax reforms in the automotive sector, aimed at striking a balance between environmental responsibility, economic prudence and public accessibility.

Among the most notable changes is the introduction of new taxes on luxury electric vehicles (EVs), effective January 1, 2026.