Finance Ministry exempts customs duty on goods used in manufacturing lithium-ion cells, inductor coil modules and display assemblies
New Delhi, July 9
The Finance Ministry has exempted customs duty on specified goods used in the manufacture of lithium-ion cells, inductor coil modules and display assemblies, according to a notification issued on Wednesday.
The Department of Revenue, under the Ministry of Finance, through a notification dated July 8, amended the earlier Customs Notification. Under the new notification, the government has expanded the list of machinery and equipment that can be imported without payment of customs duty for use in manufacturing lithium-ion cells. The exemption covers a wide range of specialised machines and systems used across the production process.
These include powder dryers, automatic feeding and blending systems, slurry transfer systems, cathode and anode extrusion coating machines, compression equipment, high vacuum pumps, winding machines, electrode cutting and slitting machines, testing machines, auto-packing systems, separator coating machines and stacking machines.
The exemption list also includes welding machines, ultrasonic cleaning machines, electrolyte injection machines, solvent and heat recovery systems, cell baking and cooling machines, laser welding and notching equipment, cell formation and inspection systems, water sprinkler systems, racks and wire filling and welding machines.
The notification also grants customs duty exemption for goods used in the manufacture of inductor coil modules and display assemblies. The move is aimed at supporting domestic electronics manufacturing by reducing the cost of importing critical inputs and production equipment.
The Finance Ministry said the amendments have been made after the government was satisfied that such measures are necessary in the public interest.
The duty exemptions are likely to lower production costs and strengthen India's manufacturing ecosystem for advanced batteries and electronic components. The move is also expected to support the government's push to boost local value addition and expand domestic production capacities in key technology sectors.The measures announced are implemented with immediate effect.
— ANI
Reader Comments
This is a step in the right direction. Our electronics manufacturing has been growing steadily, and such duty exemptions will attract more investments. But I wonder about the revenue loss to the exchequer. Hope the government has done proper cost-benefit analysis. Also important to ensure small and medium enterprises also benefit from this, not just big players.
As someone working in electronics manufacturing, this is a welcome move. The list of machinery covered is quite comprehensive - from powder dryers to auto-packing systems. This will reduce our import costs significantly. But the real test will be how quickly we can scale up domestic production of these components. We need more of such policy support consistently. 👌
Good initiative but implementation is key. We have seen many such announcements in the past where ground reality was different. Also, why only lithium-ion cells? What about solid-state batteries or other emerging technologies? We should not put all our eggs in one basket. Need a more holistic approach to battery manufacturing in India.
The government says this is in "public interest" but I hope we see the benefits reaching consumers too. These duty exemptions should eventually lead to cheaper EVs and electronics for common people. Otherwise it's just corporate subsidies. Let's see how the industry passes on these savings. Fingers crossed! 🤞
As a student in renewable energy, this makes me hopeful. But I wish the government also focused on battery recycling infrastructure. Importing machines is one thing, but managing battery waste is equally important for sustainability. Still, credit where it's due - this is a positive step for
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