New Delhi, July 9 (APAC Media): In a significant push to strengthen India’s electronics manufacturing ecosystem, the central government has announced fresh customs duty exemptions and concessions on a range of imported components and capital goods used in the production of electronic devices and lithium-ion batteries.
The Central Board of Indirect Taxes and Customs (CBIC) has issued three separate notifications expanding the list of goods eligible for customs duty relief. The measures, effective until March 31, 2029, are aimed at reducing production costs, boosting domestic value addition, and enhancing India’s competitiveness in advanced manufacturing.
Duty Exemption for Display Assembly Components
The government has exempted five key components used in manufacturing display assemblies for automotive, medical, and industrial applications from basic customs duty.
The exempted components include:
- Cells
- Flexible Printed Circuit Assemblies (FPCAs)
- Backlight Units
- Frames
- Anisotropic Conductive Film (ACF)
However, the exemption does not apply to display assemblies used in mobile phones, smartwatches, smart meters, television panels, or interactive flat-panel displays.
Relief for Wireless Charging Components
In another notification, the CBIC has extended zero customs duty until March 31, 2029, on six components used in manufacturing inductor coil modules for wireless charging in cellular mobile phones.
The components include nano-crystalline assemblies, E-shields, PET liners, PC shims, stranded and NFC coils, and neodymium-iron-boron (NdFeB) magnets.
Expanded List for Lithium-Ion Cell Manufacturing
The government has also replaced the existing list of machinery eligible for concessional customs duty with an expanded list of 85 capital goods for lithium-ion cell manufacturing.
The revised list includes:
- Coating machines
- Winding machines
- Welding systems
- Testing equipment
- Formation machines
- Drying systems
- Other specialised manufacturing equipment
The move is expected to improve cost competitiveness, encourage domestic value addition, and support India’s growing electric vehicle and battery manufacturing ecosystem.
Supporting India’s Manufacturing Vision
The latest customs duty concessions reinforce the government’s broader strategy of building robust domestic capabilities in advanced electronics, battery manufacturing, and electric mobility. By lowering the import cost of critical components and machinery, the initiative is expected to accelerate local manufacturing, strengthen supply chains, and enhance India’s position as a global electronics production hub.
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