Motor cars

Motor cars with hybrid spark-ignition and electric propulsion

DGFT CLEARANCE

HSN 8703 40 30 (Motor cars) is subject to ITC (HS) import policy controls administered by the Directorate General of Foreign Trade (DGFT), with separate policy conditions governing new vehicles (Conditions 2, 7 and 9 of Chapter 87), second-hand or used vehicles (Condition 1), and customised cars (Condition 10). Vehicle registration must comply with the Central Motor Vehicles (Eleventh Amendment) Rules, 2018 under GSR 870(E) dated 13 September 2018.

What this is

HSN code

8703 40 30

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

Policy condition compliance from DGFT
Registration compliance from Ministry of Road Transport
Import declaration from CBIC

Compliance steps

1
Identify whether the vehicle is new, second-hand/used, or customised and apply the corresponding Chapter 87 policy condition: Conditions 2, 7 and 9 for new vehicles; Condition 1 for second-hand or used vehicles; Condition 10 for customised cars. Verify whether any exemption under Conditions 3, 4, 5, 6 or 11 applies before filing the bill of entry.
ITC (HS) Import Policy, Chapter 87 — Policy Conditions 1, 2, 7, 9, 10 and exemptions 3, 4, 5, 6, 11
2
Ensure post-import vehicle registration complies with the Central Motor Vehicles (Eleventh Amendment) Rules, 2018 as notified under GSR 870(E) dated 13 September 2018. This applies to imports by manufacturers, authorised representatives, organisations, or citizens for personal use, demonstration, testing, research or scientific use.
GSR 870(E) dated 13-09-2018 · DGFT Notification 14/2015-20 dated 28-08-2019 · Ministry of Road Transport and Highways
3
For vintage motor vehicles, note the amendment to Condition 1(iii) introduced by DGFT Notification 58/2024-25 dated 07-02-2025, which reclassifies vintage motor vehicles as Free for import by actual users. Confirm the vehicle qualifies under the vintage category before claiming the Free status at the bill of entry.
DGFT Notification 58/2024-25 dated 07-02-2025

A word of counsel

The most frequent error on this tariff line is applying the new-vehicle policy conditions to a second-hand or used hybrid vehicle, or vice versa — the two tracks carry distinct port, valuation, and documentation requirements under Chapter 87. Misclassifying a used vehicle as new, or overlooking Condition 10 for a customised hybrid car, results in consignment detention and retrospective policy-condition enforcement by DGFT, including potential confiscation under the Foreign Trade (Development and Regulation) Act, 1992.

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Frequently asked

Does HSN 8703 40 30 require BIS certification?

No, hybrid motor cars under this tariff line are not covered by any BIS Quality Control Order. Import is governed by the ITC (HS) policy conditions of Chapter 87 administered by the Directorate General of Foreign Trade, with new, used and customised vehicles each subject to distinct policy conditions.

Which policy conditions apply to new hybrid motor cars under HSN 8703 40 30?

New vehicles are subject to Policy Conditions 2, 7 and 9 of Chapter 87; exemptions may apply under Conditions 3, 4, 5, 6 and 11. Post-import registration must comply with the Central Motor Vehicles (Eleventh Amendment) Rules, 2018 per GSR 870(E) dated 13-09-2018.

Can vintage hybrid motor vehicles be freely imported under this HSN?

Yes, following the amendment to Condition 1(iii) under DGFT Notification 58/2024-25 dated 07-02-2025, vintage motor vehicles are Free for import by actual users, provided the vehicle qualifies under the vintage motor vehicle definition.

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