India to introduce import limits on laptops, tablets, PCs in 2025

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India to introduce import limits on laptops, tablets, PCs in 2025

India to introduce import limits on laptops, tablets, PCs in 2025

Industry News
Nov 13,24

Currently, India permits unrestricted imports of these products, but the proposed limits could reshape the $10 billion IT hardware market, which is highly import-reliant.

India to introduce import limits on laptops, tablets, PCs in 2025

India is set to implement phased restrictions on laptop, tablet, and PC imports starting in 2025 to encourage domestic production and reduce dependency on imports, as reported by the source. Initially, a 5% import cap will be imposed, with further tightening expected in subsequent years to bolster local manufacturing efforts.

Currently, India permits unrestricted imports of these products, but the proposed limits could reshape the $10 billion IT hardware market, which is highly import-reliant. In early November, government officials discussed the planned restrictions with industry leaders from major tech firms, including IBM, Dell, and Lenovo, assuring that import management would be handled through a streamlined, fully online system to simplify customs procedures.

The restrictions are part of India’s Production-Linked Incentive (PLI) scheme, aiming to strengthen local production capabilities and address security concerns tied to import reliance, particularly from China and Hong Kong, which supply around 70% of these electronics. Officials emphasised that reducing dependency on these sources aligns with national security interests.

India’s move to regulate IT hardware imports dates back to August 2023, when initial plans faced concerns from global tech companies, leading the government to delay restrictions. Currently, companies must register imports through an import management system, a measure that will remain in place until December 31, 2024.

(Moneycontrol & Financial Express)