Concessional Duty Denied Because Imported Lithium Cells Not Used in ‘Manufacture’ Under IGCR Rules

In re Tata Autocomp Gotion Green Energy Solutions Systems Limited (CAAR Mumbai) The Authority examined the applicant’s request for an advance ruling concerning the applicability of Entry No. 527B of Notification No. 50/2017-Customs, dated 30 June 2017, as amended by Notification No. 2/2021-Customs. The applicant manufactures batteries or battery packs for electrically operated vehicles and hybrid motor vehicles and imports lithium-ion cells while claiming the concessional Basic Customs Duty (BCD) rate of 5% under Entry 527B. The issues raised relate to four scenarios involving imported lithi...