AC QCO: BIS-Uncertified Hermetic Compressor Imports Allowed for Manufacturers — Volume-Capped Until 31 March 2027
S.O. 2324(E) amends the Air Conditioner and its Related Parts, Hermetic Compressor and Temperature Sensing Controls (Quality Control) Order, 2019 by inserting new provisos into paragraph 2. The amendment creates…
What the order does
S.O. 2324(E) amends the Air Conditioner and its Related Parts, Hermetic Compressor and Temperature Sensing Controls (Quality Control) Order, 2019 by inserting new provisos into paragraph 2. The amendment creates a conditional, volume-capped exemption from BIS certification for four categories of hermetic compressors, available exclusively to manufacturers importing for their own production use.
The order takes effect from its date of gazette publication, 8 May 2026 and the exemption window closes on 31 March 2027.
Who qualifies – and who does not
Eligible: A manufacturer of air conditioning and refrigeration equipment and related parts, importing compressors for use in its own manufacturing process.
Not eligible: Traders, distributors, or importers who supply compressors to other manufacturers. The exemption is production-linked. If you are not the end-manufacturer consuming the compressor in your own facility, the QCO certification requirement continues to apply in full.
The volume caps by compressor category
The allowance for each compressor type is expressed as a percentage of that manufacturer's own total imports in FY 2024-25. Each manufacturer's cap is therefore individual it is not an industry-wide pool.
TR = tons of refrigeration. VRF compressors which are among the hardest to domestically source, receive a full 100% allowance, reflecting the current absence of adequate domestic supply for that category.
Compliance obligations that come with the exemption
The exemption is not unconditional. Two obligations attach to any manufacturer using it:
Monthly records: The manufacturer must maintain a monthly record of all compressors imported under the exemption and submit it to the relevant authorities on company letterhead, signed by an authorised signatory.
Indigenisation plan: The manufacturer must submit a plan to the Central Government for indigenisation of the imported compressor categories. This signals that the exemption is explicitly framed as transitionalthe government expects manufacturers to reduce import dependence over time.
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This news update is for guidance only. Verify with a qualified compliance advisor before acting.