India-U.K. Trade Deal Sets Auto Import Quotas and Tariffs
The Indian government has announced quotas and tariffs for automobile imports from the U.K. under the India-U.K. Comprehensive Economic and Trade Agreement (CETA), effective July 15. Initially, 20,000 petrol and diesel passenger vehicles will be imported at reduced rates of 30-50%, down from 66-110%. This quota will rise to 37,000 by year 5, with tariffs settling at 10%. For electric and alternate fuel vehicles, concessions will begin in year 6, with 400 vehicles priced between £40,000-80,000 allowed at a 50% tariff. This quota will increase to 2,000 by year 15, with tariffs decreasing to 10%. Ultra-luxury vehicles above £80,000 will start with a quota of 4,000 in year 6, rising to 20,000 by year 15, with tariffs beginning at 40% and dropping to 10% by year 10.
Published 1 day ago • 10 Jul 2026, 01:28 PM IST