UK trade deal: Applications invited for car import quota

India has opened the application process for 2026 import quotas under the India-UK CETA. This significant trade agreement facilitates reduced customs duties on vehicles imported from the UK, lowering tariffs from approximately 110% to just 10%.

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New Delhi: India on Monday invited the first round of applications for the allocation of 2026 import quotas for fully-built passenger cars and goods vehicles under the duty concession provisions of the India-UK Comprehensive Economic and Trade Agreement (CETA), which came into effect from July 15.

New Delhi has allowed the import of a total of 0.378 million units of conventional-engine passenger cars, including those in the mass segment, from the UK at a concessional customs duty during the first 15 years of the implementation of the trade pact between the two countries. Under the pact, tariffs on automotive imports will fall to 10% from about 110% with quotas.

"New applications for TRQ under India-United Kingdom CETA for CY 2026 are invited from July 21, 2026 up to August 04, 2026," the Directorate General of Foreign Trade (DGFT) said in a notification.


Only original equipment manufacturers (OEMs), dealers and channel partners duly authorised by the OEMs of vehicles originating in the UK will be eligible to apply for the Tariff Rate Quota (TRQ).
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