GENERAL16 Sept 2026
DGFT go-ahead for 7 firms to import 642 cars from UK under free trade pact
India's foreign trade body DGFT has cleared seven firms to import 642 cars from Britain this year under the India-UK free trade pact, which took effect on July 15. Import duty falls from about 110% to 10%, but only within fixed quotas. This matters to carmakers, dealers and authorised channel partners. If you import vehicles, check your quota eligibility and paperwork before shipping.
Key Statutory Highlights
- The Directorate General of Foreign Trade approved applications from seven companies for a quota of 642 cars imported from Britain for the remainder of this year.
- Under the India-UK CETA, India has allowed import of 3.78 lakh units of conventional-engine passenger cars from the UK at concessional customs duty over the first 15 years.
- Tariffs on automotive imports between the two countries will fall from about 110 per cent to 10 per cent, with quotas on both sides.
Actionable Advice for Taxpayers / Founders:If you plan to import UK-origin vehicles, check with the DGFT or a customs advisor whether you meet the tariff rate quota conditions, since applications were open only to OEMs and their authorised dealers and channel partners.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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