New Delhi, Sep 4 (IANS): Pandemic Covid-19 battered auto industry awaits GST rate reduction and scrappage scheme announcement to tide over these testing times said Kenichi Ayukawa, MD & CEO, Maruti Suzuki India.

Ayukawa spoke at the 60th SIAM Annual Convention which was held virtually.

"We will eagerly wait for the GST reduction and Scrappage scheme," he said.

"We believe that the taxes on the increased turnover will be more than the Government's expenditure on this Scrappage scheme on GST Rate reduction."

He acknowledged the assurance given by the Union Minister of Environment, Forest & Climate Change, Information & Broadcasting and Heavy Industries & Public Enterprises Prakash Javdekar, to take up the issue of GST rate reduction.

"We understand, that if the government wants to do good for the country, it needs funds," he said.

"The government revenues come from the taxes on the GDP that we generate. So, it is important for us to maximize production and sales volume."

This will help to protect lively-hoods and also keep the government revenues healthy to fund welfare initiatives, he added.