Society of Indian Automobile Manufactures

SIAM is the Apex National Body representing Indian Automobile Industry

Economic Affairs

Customs Duty Rates

(as on 1 Apr 2025)

Sl. No.	Description	Effective Rate of Custom Duty
1	CBU Passenger Vehicles > USD 40,000	70 BCD+ 40 AIDC
2	CBU Passenger Vehicles upto USD 40,000	70 BCD
3	SKD of Passenger Vehicles	35 BCD
4	CKD of Passenger Vehicles	15 BCD + 1.5 SWS
5	Second-hand Passenger Vehicles	70 BCD + 67.5 AIDC

Sl. No.	Description	Effective Rate of Custom Duty
6	CBU of Buses and Trucks	20 + 20 AIDC
7	SKD of Buses and Trucks	20 BCD + 5 AIDC
8	CKD of Buses and Trucks	15 BCD
9	Second-hand Buses and Trucks	20 BCD + 20 AIDC

Sl. No.	Description	Effective Rate of Custom Duty
10	CBU Two Wheelers less than 1,600 cc	40 BCD + 4 SWS
11	SKD of Two wheelers less than 1600 cc	20 BCD + 2 SWS
12	CKD of Two wheelers less than 1600 cc	10 BCD +1 SWS
13	CBU Two Wheelers greater than 1,600 cc	30 BCD + 3 SWS
14	SKD of Two Wheelers greater than 1600 cc	20 BCD + 2 SWS
15	CKD of Two Wheelers greater than 1600 cc	10 BCD + 1 SWS
16	CBU Electric Two Wheelers	50 BCD + 5 SWS
17	SKD Electric Two Wheelers	25 BCD + 2.5 SWS
18	CKD of Electric Two Wheelers	15 BCD + 1.5 SWS
19	Second-hand Two Wheelers	70 BCD + 40 AIDC

List of Abbreviations

BCD - Basic Customs Duty
SWS - Social Welfare Surcharge
AIDC - Agriculture Infrastructure and Development Cess
CKD - Completely Knocked Down Kit
- Definition: a Completely Knocked Down Kit containing all the necessary components, parts or sub-assemblies, for assembling a complete vehicle, with engine, gearbox and transmission mechanism not in a pre-assembled condition
SKD – Semi Knocked Down Kit
- Definition: a Completely Knocked Down Kit containing all the necessary components, parts or sub-assemblies, for assembling a complete vehicle, with engine or gearbox or transmission mechanism in a pre-assembled form but not mounted on a chassis or a body assembly.
CBU – Completely Built Unit