India Opens TRQ for UK Vehicle Imports Under CETA Agreement

The Indian government has announced a two-week application window for the import of UK passenger and goods transport vehicles under the India-UK CETA. A quota of 9,316 units will be available for concessional customs duties in 2026, requiring a pre-purchase agreement for eligibility.

The Indian government has taken a significant step by opening applications for importing passenger vehicles and specific goods transport vehicles from the United Kingdom. This initiative, part of the India-UK Comprehensive Economic and Trade Agreement (CETA), allows eligible importers to apply under the tariff rate quota (TRQ) system.

The Directorate General of Foreign Trade (DGFT) revealed through a gazette notification that applications for allocating the TRQ for the calendar year 2026 will be accepted from July 21 to August 4, 2026. The announcement outlines that the first phase of quota includes 9,316 vehicles, with concessional customs duties applied as per the trade agreement.

Of this total allocation, 2,329 units are dedicated to passenger vehicles with engine capacities up to 1,500 cc. An additional 2,329 units have been earmarked for mid-segment vehicles, while 4,658 units are reserved for high engine-capacity premium vehicles, benefiting from a 30% concessional customs duty. To qualify, applicants must provide a pre-purchase agreement from a UK-based OEM detailing the vehicles to be supplied. The DGFT emphasized compliance with operational procedures as per the 2023 Foreign Trade Policy.