Government jobs • Exam updates • PreparationIndependent information portal
RojgarRankYOUR NEXT STEP STARTS HERE
Current Affairs

Government Waives Customs Duty on Electronics Components until 2029

By Published

On 9 July 2026, the Indian government announced a waiver of basic customs duty on key electronic components used in the manufacture of display assemblies, lithium-ion cells, and inductor coil modules. This exemption, valid until 31 March 2029, covers inputs used in devices such as smartphones, laptops, wearables, smart TVs, automotive and medical devices, as well as wireless charging modules components. Implemented through three Finance Ministry notifications, this move supports the Production Linked Incentive (PLI) scheme aimed at boosting domestic electronics manufacturing.

On this page

Key Facts

  • Date of announcement: 9 July 2026
  • Customs duty waived: Basic customs duty on certain electronics components
  • Components covered: Display assemblies, lithium-ion cells, inductor coil modules, NFC coils, NdFeB magnets
  • Validity period: Until 31 March 2029
  • Devices impacted: Smartphones, laptops, wearables, smart TVs, automotive systems, medical devices, industrial applications
  • Implemented by: Finance Ministry through three notifications
  • Aligned with: Production Linked Incentive (PLI) scheme for electronics manufacturing

Background & Context

Basic customs duty is a tariff levied under the Customs Act, 1962, on imported goods entering India. The government’s decision to waive this duty on select electronic components aims to lower production costs for domestic manufacturers, boost the electronics supply chain in India, and encourage self-reliance in electronics manufacturing. The exemption covers inputs used broadly across consumer electronics, automotive, medical, and industrial sectors, and aligns closely with the government’s Production Linked Incentive (PLI) scheme designed to promote local production and reduce reliance on imports.

Why This Matters for Exams / Exam Relevance

This policy is significant for understanding current Indian government initiatives to promote domestic manufacturing and economic self-reliance under the Atmanirbhar Bharat campaign. Knowledge of the basic customs duty waiver, its scope, and its link to the PLI scheme is relevant for questions on economic reforms, trade policy, and electronics sector development in competitive exams such as UPSC and state PSCs.

Points to Remember

  • The customs duty waiver was announced on 9 July 2026 and is valid until 31 March 2029.
  • It covers basic customs duty on inputs used in display assemblies, lithium-ion cells, inductor coil modules, and components used in wireless charging modules, including NFC coils and NdFeB magnets.
  • Devices affected include smartphones, laptops, wearables, smart TVs, automotive systems, medical devices, and industrial applications.
  • The waiver is implemented via three notifications by the Finance Ministry.
  • This move supports the Production Linked Incentive (PLI) scheme to encourage domestic electronics manufacturing and reduce import dependence.
← Back to Current Affairs