Summary: The Central Board of Indirect Taxes and Customs (CBIC), Ministry of Finance, has issued Circular No. 45/2026-Customs dated 9 October 2026, clarifying the meaning of the term “Power Bank” under Serial No. 325 of Table I of Notification No. 45/2025-Customs dated 24 October 2025. The clarification concerns the applicability of the concessional Basic Customs Duty (BCD) rate of 10% to lithium-ion Battery Energy Storage Systems (BESS) classified under tariff item 8507 60 00.
The relevant customs exemption entry prescribes a concessional duty rate of 10% for specified goods under tariff item 8507 60 00, subject to exclusions relating to certain electric and hybrid vehicle battery packs, cellular mobile phone batteries or battery packs, and power banks. The tariff rate for goods under the tariff item is 20%.
CBIC observed that customs field formations were adopting divergent assessment practices, with some treating stationary, grid-scale and industrial BESS as power banks and consequently denying the concessional rate.
The Board has clarified that “Power Bank” refers only to lithium-ion battery devices equipped with charging or discharging ports and designed to function as external charging devices for cellular mobile phones or portable electronic devices.
Accordingly, stationary, grid-scale and industrial lithium-ion BESS falling under tariff item 8507 60 00 do not fall within the power bank exclusion under the specified notification entry. Such systems are therefore not to be denied the 10% concessional BCD rate merely by treating them as power banks, subject to the applicable notification conditions.
The clarification corresponds to Serial No. 528C of the erstwhile Notification No. 50/2017-Customs dated 30 June 2017, which was subsumed into the consolidated customs exemption framework.
F. No. 190354/133/2025-TRU
Government of India
Ministry of Finance
Department of Revenue
Tax Research Unit
Circular No. 45/2026-Customs | 9th October, 2026
To,
All Principal Chief Commissioner/Chief Commissioner of Customs/Customs (Preventive),
All Principal Chief Commissioner/Chief Commissioner of Customs & Central Tax,
All Principal Commissioner/Commissioner of Customs/Customs (Preventive),
All Principal Commissioner/Commissioner of Customs & Central Tax,
All Principal Director Generals/Director Generals under CBIC.
Madam/Sir,
Subject: Clarification regarding scope of the term “Power Bank” under S. No. 325 of Table I of notification No. 45/2025-Customs dated 24.10.2025 (corresponding to S. No. 528C of the erstwhile notification No. 50/2017-Customs dated 30.06.2017) – reg.
Reference is invited to S. No. 325 of Table I of notification No. 45/2025-
Customs dated 24.10.2025, vide which a concessional Basic Customs Duty (BCD) rate of 10% has been prescribed for goods falling under tariff item 8507 60 00, other than battery pack for use in the manufacture of electrically operated vehicle or hybrid vehicle; lithium-ion battery or battery packs of cellular mobile phones; and power banks. Tariff rate of goods covered under HSN 8507 60 00 is 20%.
2. It has come to the notice of the Board that divergent assessment practices are being followed by field formations in respect of Battery Energy Storage Systems (BESS) falling under tariff item 8507 60 00. It has been reported that some field formations are treating stationary/grid-scale/industrial BESS as “Power Bank” and are denying the concessional BCD rate of 10% available under the above entry.
3. The matter has been examined. It is hereby clarified that, for the purpose of S. No. 325 of Table I ofnotification No. 45/2025-Customs dated 24.10.2025 (corresponding to S. No. 528C of the erstwhile notification No. 50/2017-Customs dated 30.06.2017), the term “Power Bank” applies only to such lithium-ion battery devices with charging/discharging ports designed for use as an external charging device for cellular mobile phones or portable electronic devices. Accordingly, stationary, grid-scale or industrial lithium-ion BESS falling under tariff item 8507 60 00 are not covered by the exclusion applicable to “Power Bank” under the said Entry.
4. Difficulty faced, if any, in the implementation of the above clarification may be brought to the notice of the Board. Hindi version will follow.
Yours faithfully,
(Kumar Vivek)
Technical Officer (TRU-I)
