In a range-bound trade on Tuesday, the stock of premium car manufacturer Tata Motors surged by 4.5% to record a day's high of Rs. 309.7 as against the previous day's close of Rs. 295.9. The surge in the stock is on the back of the news that China will reduce import duty to 15% on passenger vehicles. The move is viewed as a positive for luxury car makers such as Tata motors which manufacture the famous Jaguar Landrover.
As per the Bloomberg report, the State Council, the cabinet of China nation, has taken the decision to reduce the levy from current 25% that is into effect from over a decade now to 15%.
In Monday's trade, the stock of Tata Motors hit a 52-week low of Rs. 297 as the MSCI dropped Tata Motors DVR from its list.
At 1:23 pm, the stock was seen quoting at Rs. 307.35, up 3.64% on the BSE.