Other, air-conditioned

Electric bus or coach, air-conditioned, ten or more passengers

DGFT CLEARANCE

HSN 8702 40 28 covers air-conditioned motor vehicles for ten or more persons propelled solely by electric motor, and import is governed by the Directorate General of Foreign Trade (DGFT) under the ITC (HS) import policy for Chapter 87. New vehicles are subject to Policy Conditions 2, 7 and 9 of Chapter 87; used or second-hand vehicles are subject to Policy Condition 1; and registration of imported vehicles must comply with the Central Motor Vehicles (Eleventh Amendment) Rules, 2018.

What this is

HSN code

8702 40 28

Chapter

87 · Vehicles other than railway or tramway rolling-stock; parts and accessories

Primary regulator

DGFT · ITC (HS) import policy, Chapter 87 Policy Conditions

Customs documentation

Import authorisation from DGFT
Policy Condition compliance declaration to CBIC
Vehicle registration certificate from MoRTH

Compliance steps

1
Verify that the import satisfies DGFT Policy Conditions 2, 7 and 9 of Chapter 87 before filing the bill of entry for new electric buses. If importing a used or second-hand vehicle, comply instead with Policy Condition 1; consult Policy Conditions 3, 4, 5, 6 and 11 for applicable exemptions to these requirements.
DGFT ITC (HS) 2022, Chapter 87 Policy Conditions 1, 2, 7 and 9
2
Ensure the imported vehicle is registered in accordance with the Central Motor Vehicles (Eleventh Amendment) Rules, 2018 (GSR 870(E) dated 13-09-2018) when imported by a manufacturer, authorised representative, organisation, or citizen for personal use, demonstration, testing, research or scientific purposes.
GSR 870(E) dated 13-09-2018, Ministry of Road Transport and Highways · DGFT Notification 14/2015-20 dated 28-08-2019
3
Note that DGFT Notification 58/2024-25 dated 07-02-2025 amended Policy Condition 1(iii) to permit free import of Vintage Motor Vehicles by actual users; confirm whether the consignment qualifies under this carve-out if applicable.
DGFT Notification 58/2024-25 dated 07-02-2025

A word of counsel

The most common error on this tariff line is applying the new-vehicle policy conditions to a used or refurbished electric bus, or vice versa — the two regimes are distinct and non-interchangeable. Policy Condition 1 governs second-hand and used vehicles with its own eligibility and documentation requirements, while Conditions 2, 7 and 9 govern new vehicles; conflating them at the bill-of-entry stage results in outright detention and potential confiscation of the consignment.

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Frequently asked

Does HSN 8702 40 28 require BIS certification?

No, no BIS Quality Control Order covers this tariff line. Import of air-conditioned electric buses for ten or more persons is governed by the Directorate General of Foreign Trade under the ITC (HS) import policy Chapter 87 Policy Conditions, with vehicle-registration obligations under the Central Motor Vehicles (Eleventh Amendment) Rules, 2018.

Which specific DGFT policy conditions apply to new electric buses under this HSN?

New vehicles under HSN 8702 40 28 are subject to Policy Conditions 2, 7 and 9 of Chapter 87 of the ITC (HS); Policy Conditions 3, 4, 5, 6 and 11 set out applicable exemptions and should be reviewed before filing.

Does the 2025 amendment to Policy Condition 1(iii) affect imports of used electric buses?

DGFT Notification 58/2024-25 dated 07-02-2025 amended Condition 1(iii) to allow free import of Vintage Motor Vehicles by actual users only; standard used or second-hand electric buses remain subject to the substantive requirements of Policy Condition 1 of Chapter 87.

Last verified against gazette notifications: 2026-05-16. Source: DGFT / Indian Customs CUSDATA.