Finance Ministry Revises Customs Duty List for Lithium-Ion Cell Manufacturing Equipment

The Ministry of Finance, through the Department of Revenue, has amended the customs notification governing concessional import duty on machinery used in lithium-ion cell manufacturing. The list of eligible equipment to support domestic battery manufacturing. In a notification, the Central Government amended provisions under Customs Notification No. 21/2002-Customs , originally issued on March 1, 2002, in the public interest. The amendment substitutes entries under Serial Numbers 69 and 69A in the notification's schedule with a revised version. Additionally, it expanded the list of machinery eligible under the concessional customs duty framework. Lithium-Ion Cell Manufacturing The Ministry of Finance's revised notification covers a range of equipment used across the lithium-ion cell manufacturing process, including slurry preparation, electrode coating, calendaring, winding, electrolyte filling, cell formation, welding, testing, inspection and packaging systems. The amendment comes as India continues to expand domestic advanced chemistry cell (ACC) manufacturing capacity under the government's efforts to strengthen the battery manufacturing ecosystem and reduce dependence on imported cells and battery components. Updating the list of eligible machinery is expected to improve clarity for manufacturers importing specialised production equipment while supporting investments in local lithium-ion cell manufacturing. The notification takes effect from the date of its publication in the Official Gazette. Among the machinery included are powder dryers, automatic feeding and blending systems, slurry transfer systems, cathode and anode extrusion coating machines, and cold press machines. Other equipment includes high-vacuum pumps, automatic electrode production machines, winding machines, electrolyte filling equipment, and separator coating machines. Additionally, the list included helium testing systems and cell sorting lines, among others in the list. The updated list also includes supporting infrastructure such as solvent recovery systems, heat recovery systems, effluent treatment systems, vacuum ovens, chillers, water sprinkler systems, racks, and other auxiliary equipment required for lithium-ion cell manufacturing facilities. Other equipment includes Cell ageing Machine falling, Cell Formation Cell capacity and SOC, Cell Formation -DCIR, Cell Formation Cell Tray plastic, Cell Formation -Cell Tray Metallic, Cell Formation Formation Machine, etc. The notification specifies the applicable customs tariff classifications for each item to facilitate imports under the concessional duty regime.