Indirect Tax
Customs
Temporary Import Duty Exemption for Goods Imported for Approved Events
Notification No. 24/2026-Customs (Tariff) dated 3 July 2026
The Government has introduced a temporary import scheme allowing specified goods to be brought into India duty-free for approved exhibitions, trade fairs, conferences, and similar events. Importers must furnish a bond and, in most cases, provide a bank guarantee or cash deposit equivalent to 110% of the applicable customs duty. Goods must remain at the approved venue, be identifiable for re-export, and generally be re-exported within six months. Alternatively, importers may clear the goods for home consumption by paying applicable duties and interest. Certain government entities, diplomatic missions, and international organizations are eligible for an extended reexport period of up to two years.
Customs Notifications 25/2026, 26/2026 and 27/2026: Strengthening India's Electronics and Energy Storage Manufacturing Ecosystem
Notification 25/2026-Customs (Tariff) dated 8 July 2026
Notification 26/2026-Customs (Tariff) dated 8 July 2026
Notification 27/2026-Customs (Tariff) dated 8 July 2026
The three customs notifications issued on 8 July 2026 signal a continuing policy push toward domestic manufacturing of electronics, advanced components, and battery technologies. Together, they expand duty concessions for critical inputs and production equipment while aligning Customs policy with India's broader manufacturing and import-substitution objectives.
Notification 25/2026-Customs (Tariff)
- Government has inserted a new entry providing a nil customs duty benefit for specified components used in manufacturing display assemblies falling under heading 8524 for automotive, medical and industrial applications. Eligible items include cells, flexible printed circuit assemblies (FPCA), backlight units, frames and anisotropic conductive films (ACF).
- The notification carefully excludes display assemblies for mobile phones, smart watches, smart meters, television panels and interactive flat panel display modules. The concession remains available until 31 March 2029.
Notification 26/2026-Customs (Tariff)
A new entry has been inserted, granting nil customs duty on specified inputs used in the manufacture of inductor coil modules for wireless charging in cellular mobile phones. Eligible goods include:
- Nano-crystalline assemblies, E-shields, PET liners, PC shims, stranded coils, NFC coils and neodymium magnets.
- Importantly, the notification provides detailed technical definitions of each component. By incorporating these descriptions, the Government appears to be reducing classification disputes and ensuring that the concession is confined to clearly identify manufacturing inputs. The benefit is also available up to 31 March 2029.
Notification 27/2026-Customs (Tariff)
- The most extensive change comes here, which substitutes existing entries to significantly expand the list of machinery eligible under the customs exemption framework for lithium-ion cell manufacturing. The revised list covers a broad spectrum of production, coating, winding, welding, testing, formation, packaging and quality-control equipment.
- The notification effectively updates the exemption architecture to reflect the increasingly sophisticated machinery requirements of modern battery manufacturing facilities.
India-UK CETA - Preferential Duty Concessions Implemented
Notification No. 29/2026-Customs (Tariff) dated 10 July 2026
The Government has operationalized the first phase of tariff concessions under the India-UK Comprehensive Economic and Trade Agreement (CETA), effective 15 July 2026. Eligible UK-origin goods can avail preferential rates of Basic Customs Duty (BCD), Agriculture Infrastructure and Development Cess (AIDC), and Health Cess.
Certain products are also covered under a Tariff Rate Quota (TRQ) regime, allowing lower duties within specified quota limits. The benefits are available only upon submission of valid proof that the goods qualify as UK-origin under the applicable Rules of Origin.
Pan-India Implementation of SCMTR, 2018
Notification No. 61/2026-Customs (Non-Tariff) dated 1 July 2026, and Circular No. 29/2026 dated 1 July 2026
CBIC has implemented the Sea Cargo Manifest and Transhipment Regulations (SCMTR), 2018, across India, mandating electronic filing of sea cargo and transhipmentrelated messages. To support a smooth transition, CBIC has extended the prescribed compliance/transitional deadline from 30 June 2026 to 31 August 2026, thereby providing additional time for stakeholders to comply with electronic filing and reporting requirements under the SCMTR framework.
India-UK CETA Rules of Origin Notified: A Detailed Framework for Preferential Trade Begins
Notification No. 62/2026-Customs (Non-Tariff) dated 1 July 2026
The Government has notified the Customs Tariff (Determination of Origin of Goods under Comprehensive Economic and Trade Agreement between India and the United Kingdom of Great Britain and Northern Ireland) Rules, 2026, laying down the legal framework for determining whether imported or exported goods qualify for preferential tariff treatment under the India-UK Comprehensive Economic and Trade Agreement (CETA).
The Rules come into force from 15 July 2026 and represent one of the most comprehensive origin frameworks adopted by India under a bilateral trade arrangement. By combining detailed product-specific origin requirements, digital authentication mechanisms, structured verification procedures and data-governance safeguards, the framework attempts to balance trade facilitation with revenue protection. For businesses seeking to leverage the tariff advantages under the agreement, origin compliance is likely to become as important as tariff classification itself.
Anti-Dumping Duty (ADD) updates July 2026
| Notification No. | Date | Product | Action Taken | Country/Countries Involved |
| 18/2026-Customs (ADD) 27 July 2026 | Low Ash Metallurgical Coke | Definitive Anti-Dumping Duty imposed | Australia, China PR, Colombia, Indonesia, Japan and Russia. | |
| 17/2026-Customs (ADD) | 10 July 2026 | Arylides | ADD extended till 13 January 2027 | China PR |
| 16/2026-Customs (ADD) | 6 July 2026 | Seamless Tubes, Pipes and Hollow Profiles of Iron/Steel | ADD extended till 13 January 2027 | China PR |
| 15/2026-Customs (ADD) | 3 July 2026 | Normal Butanol (N-Butanol) | ADD continued | Malaysia, South Africa and USA |
| 14/2026-Customs (ADD) | 3 July 2026 | Glufosinate and its salts | Provisional assessment ordered pending anti-absorption review | China PR |
| 13/2026-Customs (ADD) | 3 July 2026 | Insoluble Sulphur | Provisional assessment ordered pending anti-absorption review | China PR |
CBIC ends divergent practices on Customs Drawback and Refunds linked to Duty Credit Scrips
Circular No. 30/2026 dated 3 July 2026
The Central Board of Indirect Taxes and Customs (CBIC) has moved to resolve a long-standing procedural inconsistency in the treatment of customs drawback and refund claims where import duties were originally discharged through duty credit scrips. The Board has clarified that where duty was paid wholly or partly through duty credit scrips, any subsequent drawback under Section 74 or refund under Section 27 of the Customs Act, 1962 must ordinarily be granted through re-credit and not in cash.
CBIC has prescribed an alternative mechanism where direct electronic re-credit may not be feasible in legacy schemes such as MEIS and SEIS. Customs authorities will issue a re-credit certificate containing details of the utilized scrip, import transaction, and amount originally debited. This certificate can then be used for obtaining revalidation of duty credit scrips from DGFT.
Foreign Trade Policy
DGFT Aligns Export Classification Framework with Finance Act 2026
Notification No. 26/2026-27 - DGFT dated 27 July 2026
DGFT has amended the list of ITC (HS) 2022 in the Export Policy to bring it in line with the tariff changes introduced through the Finance Act, 2026. The implications are significant for exporters, customs brokers, logistics operators, and compliance teams that rely upon accurate tariff classification for export documentation and regulatory compliance.
The revised ITC (HS) classification framework is to be made available through the DGFT website and has come into force with immediate effect from 27 July 2026.
| Public Notice No. | Date | Trade Agreement | Key Purpose / Impact |
| 22/2026- 27-DGFT | 20 July 2026 | India-UK CETA | Invites applications from eligible importers for allocation of tariff rate quotas (TRQs) for import of Completely Built Unit (CBU) vehicles under concessional duty benefits negotiated under the India-UK CETA. |
| 20/2026- 27-DGFT | 13 July 2026 | India-Oman CEPA | Prescribes procedures for allocation and utilization of TRQs available under the India-Oman Comprehensive Economic Partnership Agreement, including import compliance requirements. |
| 19/2026- 27-DGFT | 9 July 2026 | India-UK CETA | Establishes the procedural framework for allocation, administration, and utilization of tariff rate quotas under the India- UK Comprehensive Economic and Trade Agreement. |
| 18/2026- 27-DGFT | 1 July 2026 | India-UAE CEPA | Extends the validity of Gold TRQ authorizations issued for FY 2025-26 up to 30 September 2026, providing additional time for utilization of quota benefits. |
DGFT updates the TRACE Scheme under Niryat Disha
Trade Notice No. 09/2026-27-DGFT dated 1 July 2026
DGFT has substantially revised the operational framework of the Trade Regulations, Accreditation and Compliance Enablement (TRACE) component under the Export Promotion Mission (EPM) - Niryat Disha. The amendments seek to strike a balance between stronger financial support for exporters, particularly MSMEs, and stricter linkage of assistance with actual export performance. The key highlights include:
- Lower compliance cost for MSMEs
- Easier access to international certifications and testing requirements
- Higher reimbursement ceiling (INR 5 million) supports multiple export markets
- Encourages actual exports rather than mere certification acquisition
- Greater focus on documentation, export linkage, and compliance monitoring
Digital Preferential Certificates of Origin for India-UK CETA
Trade Notice No. 11/2026-27 dated 13 July 2026
DGFT has enabled the electronic filing and issuance of Preferential Certificates of Origin (CoO) through the Trade Connect Portal for exports under the India-UK Comprehensive Economic and Trade Agreement (CETA). Effective 15 July 2026, exporters can obtain CoOs online, facilitating smoother access to preferential tariff benefits available under the agreement.
Proposed RCMC Exemption for Low-Value Export Consignments
Trade Notice No. 13/2026-27 dated 20 July 2026
DGFT has invited stakeholder comments on a proposed amendment to Para 2.57 of FTP 2023 to exempt exporters from the requirement of obtaining a Registration-cum- Membership Certificate (RCMC) for export consignments with an FOB value up to INR 10,000, excluding restricted items. The proposal aims to support small-value exports, particularly those routed through courier, postal, and e-commerce channels, by reducing compliance requirements.