Overview
- The Finance Ministry issued three CBIC notifications on Thursday, July 9, 2026, that take effect immediately and waive basic customs duty on machinery and inputs for lithium‑ion cells, display assemblies and wireless charging inductor modules until March 31, 2029.
- The battery machinery list was replaced with an expanded 85‑category framework covering nearly the entire lithium‑ion cell production process and CBIC assigned specific tariff classifications to each category to cut customs disputes.
- Concessions explicitly include ancillary systems such as solvent recovery units, heat recovery equipment, dust collection and effluent treatment plants while the display‑assembly relief is limited to automotive, medical and industrial uses and excludes consumer devices like phones and TVs.
- Markets and industry reacted positively with shares of EMS and component makers rising, and analysts said the move lowers import costs for firms such as Apple, Xiaomi and domestic battery builders but may not lead to immediate retail price cuts.
- Officials and analysts say the measure supports the Make in India/PLI push to build local supply chains and attract investment, but its impact will depend on companies' capital decisions, development of local suppliers and smooth customs implementation at ports.