Import duty on split-system air conditioners from Dubai (UAE) to India
HS 84151010 · Dubai / UAE → India · AIR CONDITIONING MACHINES
Data last updated: · MFN duty & IGST verified against ICEGATE (Indian Customs EDI). CEPA preferential rate per the India–UAE CEPA schedule. Verify your exact HS line before filing.
Duty breakdown on a ₹10,00,000 shipment
Enter your own value to recalculate the table below.
| Component | Standard (MFN) | CEPA |
|---|---|---|
| Basic customs duty | ₹2,00,000 | ₹1,00,000 |
| Social Welfare Surcharge | ₹20,000 | ₹10,000 |
| IGST | ₹2,19,600 | ₹1,99,800 |
| Total duty | ₹4,39,600 | ₹3,09,800 |
CEPA duty saving on this example: ₹1,29,800 . Run your own numbers in the import-duty estimator. New to BCD, SWS and IGST? See the glossary.
How this duty changes, year by year
India's schedule of tariff concessions (CEPA Annex 2A) sets a preferential rate for each of ten years, not one permanent figure. For HS 84151010 the modality is TR, bottoming out at 10% in 2026.
| Year | 2022 | 2023 | 2024 | 2025 | 2026now | 2027 | 2028 | 2029 | 2030 | 2031 |
|---|---|---|---|---|---|---|---|---|---|---|
| CEPA BCD | 18% | 16% | 14% | 12% | 10% | 10% | 10% | 10% | 10% | 10% |
Rates as published in India's schedule; the agreement entered into force on 1 May 2022, so Year 1 is 2022. CEPA Annex 2A
What drives the rate
Importing split-system air conditioners (HS 84151010) from the UAE to India attracts a 20% MFN basic customs duty, and the India–UAE CEPA preferential rate is 10%. Split-system air conditioners are a high-value UAE-sourced line, but the CEPA benefit is a reduction, not elimination: the schedule cuts the basic duty part-way and then holds it at a floor, so this line never reaches zero and a contract priced on eventual duty-free entry is built on a misreading. On an 18% IGST base the remaining duty still adds up, so model the landed cost on the floor rate rather than an assumed path to zero. ACs also carry BIS certification and BEE star-rating labelling, which apply regardless of origin and are frequently the binding constraint on a launch, plus E-Waste producer registration. The 40% value-content rule is hard to meet on assembly of imported compressors and coils. Check whether the specific model's HS leaf shares this treatment before pricing. The rate is on a published staircase: Annex 2A takes this line from 18% in 2022 down to 10% in 2026 — TR — and stops there rather than reaching zero, with 10% the rate for 2026. The preference is worth 11% of assessable value on every consignment — the 10-point basic-duty gap plus the 10% Social Welfare Surcharge that rides on it — so it scales with shipment size rather than with effort, and the Certificate of Origin costs the same either way. Social Welfare Surcharge adds 10% on the basic duty, not on the goods, and IGST of 18% then applies to the CIF + BCD + SWS total — IGST is recoverable as input tax credit, so the durable benefit is the basic duty alone. Confirm the live rate on ICEGATE before filing; ₹10,00,000 is only the worked example above.
Import compliance & clearances
Beyond duty, importing split-system air conditioners (HS 84151010) into India requires the following regulatory clearances. The CEPA preferential rate does not waive any of these — they apply regardless of origin.
- DGFT Valid IEC (Importer-Exporter Code) required; ITC(HS) import policy: Free source ↗
- BIS Mandatory ISI certification — air conditioners are under a BIS Quality Control Order source ↗
- BEE Mandatory Standards & Labelling (star rating) under the Energy Conservation Act source ↗
- CPCB EPR registration under the E-Waste (Management) Rules, 2022 source ↗
Indicative and non-exhaustive — verify the current DGFT / BIS / FSSAI / CDSCO notification for your exact 8-digit HS line before importing. Not customs or legal advice.
Frequently asked questions
- What is the import duty on split-system air conditioners from the UAE to India?
- The standard MFN basic customs duty is 20%; under India–UAE CEPA the preferential rate is 10%. SWS adds 10% on the basic duty and 18% IGST applies on the CIF + BCD + SWS base.
- How much can CEPA save on split-system air conditioners?
- On a CIF value of ₹10,00,000, total duty falls from ₹4,39,600 (MFN) to ₹3,09,800 (CEPA) — about ₹1,29,800 saved per shipment, scaling with consignment value.
- What do I need to claim the CEPA rate on split-system air conditioners?
- A valid preferential Certificate of Origin (eCoO 2.0) proving UAE origin under the Rules of Origin. Without it, customs charges the 20% MFN rate.