Overview
- Industry body ICEA has submitted budget recommendations ahead of Union Budget 2026–27 seeking tariff and policy changes now under government consideration.
- ICEA wants the zero-duty benefit on finished capital equipment extended to all components and to lithium-ion cell manufacturing machinery, citing current duties of 5–20% on parts versus zero on complete machines.
- The proposals include cutting duties on small mobile sub-assemblies and PCBAs to 10%, reducing finished wearables and hearables to 15%, and keeping finished displays at 15% while exempting all inputs.
- ICEA also recommends zero duty on inputs for inductor coil modules used in wireless charging while retaining 10% on finished modules to promote local manufacturing.
- The submission pairs tariff asks with reforms on classification and the MOOWR regime, plus a standard 2% wastage norm, and cites sector scale of over 2.5 million jobs with mobile output near $75 billion and exports above $30 billion this fiscal.