Learning how to import machinery from China to India has become essential for Indian manufacturers seeking cost-effective equipment solutions. While this guide focuses on aluminium scrap imports from the UAE, the principles of how to import machinery from China to India share similar regulatory frameworks—including HS code classification, BIS certification requirements, and DGFT compliance—that importers must master.

Indian businesses exploring how to import machinery from China to India can apply these same systematic approaches to documentation, customs clearance, and cost optimization strategies outlined in this comprehensive resource.

How to Import Machinery from China to India: Understanding HS Codes and Classification

Primary HS Codes for Aluminium Scrap Imports

When importing aluminium scrap from the UAE, you must use the correct Harmonized System (HS) codes for customs clearance:

Pro Tip: Always verify the exact HS code with your UAE supplier before shipment. Misclassification can result in customs delays, penalties, or rejection at Indian ports.

Import Duty Structure for Aluminium Scrap from UAE (2026)

Basic Customs Duty (BCD) and Additional Duties

The duty structure for aluminium scrap imports from the UAE under the India-UAE CEPA (Comprehensive Economic Partnership Agreement) provides significant advantages:

Cost Calculation Example (2026)

Scenario: Importing 25 MT of aluminium scrap (HS 7602.00.10) from UAE to Mumbai port

Key Update: The India-UAE CEPA, operational since May 2022, continues to offer zero BCD on aluminium scrap imports in 2026. However, you MUST obtain a valid Certificate of Origin from your UAE supplier to claim these benefits.

Regulatory Compliance Requirements

DGFT Import Licensing Framework

Under the current Foreign Trade Policy, aluminium scrap imports are regulated through the following framework:

Import Policy Status: "Free" — No specific import license required for aluminium scrap under HS Code 7602.

However, importers must:

• Register with DGFT and obtain an Importer Exporter Code (IEC)
• File Bill of Entry through ICEGATE
• Comply with BIS certification requirements where applicable

BIS Certification Requirements (IS 2118)

The Bureau of Indian Standards (BIS) has implemented quality control measures for aluminium scrap:

Compliance Process:

1. Obtain BIS certification for the specific grade of aluminium scrap
2. Ensure supplier provides test certificates conforming to IS 2118
3. Submit BIS compliance declaration with Bill of Entry

Watch Out: Non-compliance with BIS standards can result in customs detention, rejection of shipment, or penalties under the BIS Act, 2016. Always verify your supplier's BIS compliance before placing orders.

Documentation Requirements for UAE Imports

Mandatory Documents Checklist

Certificate of Origin Requirements (India-UAE CEPA)

To claim zero BCD under CEPA, your Certificate of Origin must include:

• HS Code at 6-digit level (7602.00)
• Product description matching the invoice
• CEPA-specific origin criteria certification
• Validity: 12 months from issue date

Step-by-Step Import Process

Step 1: Pre-Shipment Preparation

• Verify supplier's BIS compliance and CEPA eligibility
• Confirm HS code classification with supplier
• Obtain pro forma invoice and sample test certificates
• Apply for IEC if not already registered

Step 2: Order Placement and Documentation

• Issue purchase order with CEPA compliance clause
• Request Certificate of Origin from UAE Chamber of Commerce
• Arrange for pre-shipment inspection if required
• Confirm shipping schedule and vessel details

Step 3: Shipment and Customs Clearance

• Track shipment through shipping line portal
• Prepare Bill of Entry documents before vessel arrival
• File Bill of Entry through ICEGATE with CEPA declaration
• Submit all mandatory documents to customs

Step 4: Post-Clearance Compliance

• Obtain customs clearance and pay IGST
• Arrange inland transportation to warehouse
• Maintain import records for 5 years as per customs regulations
• File GST returns with import details

Cost Optimization Strategies

Leveraging India-UAE CEPA Benefits

• Always obtain valid Certificate of Origin to save 2.5% BCD
• Negotiate CEPA-compliant pricing with UAE suppliers
• Consider long-term contracts to lock in CEPA benefits

Logistics Cost Reduction

• Use Jebel Ali (Dubai) to Mumbai/Mundra direct routes
• Consolidate shipments to achieve FCL (Full Container Load) rates
• Plan imports during non-peak shipping seasons

Common Challenges and Solutions

Frequently Asked Questions (FAQ)

What is the first step in how to import machinery from China to India?

The first step in how to import machinery from China to India is obtaining your IEC (Importer Exporter Code) from DGFT. Without this 10-digit code, no import can be processed through Indian customs. Machinery imports additionally require verifying if your specific equipment falls under BIS compulsory registration or requires special import licenses.

How does the India-UAE CEPA benefit aluminium scrap importers compared to machinery imports from China?

The India-UAE CEPA provides zero Basic Customs Duty (BCD) on aluminium scrap imports when accompanied by a valid Certificate of Origin. For those learning how to import machinery from China to India, different duty structures apply under the India-China trade framework, which does not currently offer similar preferential duty exemptions. Machinery imports from China typically attract standard BCD rates plus additional levies like SWS and IGST.

What documentation is essential for claiming CEPA benefits on UAE imports?

To claim CEPA benefits, you must obtain a Certificate of Origin from the UAE Chamber of Commerce containing: the 6-digit HS code, exact product description matching your commercial invoice, CEPA-specific origin criteria certification, and validity within 12 months of issue date. Missing any of these elements will result in denial of zero-duty benefits and application of standard 2.5% BCD.

How long should import records be maintained for regulatory compliance?

Indian customs regulations mandate maintaining complete import documentation for 5 years from the date of import. This includes commercial invoices, packing lists, bills of lading, certificates of origin, BIS test certificates, customs clearance documents, and GST payment records. These records may be required for customs audits, GST assessments, or DGFT compliance verification.

What are the most common reasons for customs delays in aluminium scrap imports?

The three most frequent causes of customs delays are: HS code misclassification between 7602.00.10 and 7602.00.90, incomplete or invalid BIS test certificates not conforming to IS 2118, and discrepancies between declared values and actual transaction values triggering customs valuation inquiries. Pre-verifying these elements with your supplier before shipment significantly reduces clearance time.

Conclusion

Importing aluminium scrap from the UAE to India in 2026 offers significant advantages through the India-UAE CEPA, including zero basic customs duty. However, success requires strict adherence to BIS certification requirements, proper documentation including the Certificate of Origin, and compliance with DGFT regulations.

By following the step-by-step process outlined in this guide and leveraging the cost calculation framework, Indian importers can optimize their aluminium scrap imports from the UAE while ensuring full regulatory compliance. The same systematic approach applies when learning how to import machinery from China to India—focusing on HS code accuracy, certification compliance, and documentation completeness.

Related Resources

• Understanding HS Codes for Importing into India
• BIS Certification Process for Imports
• India-UAE CEPA Benefits Guide
• Import Customs Clearance Process in India: Complete Guide

Disclaimer: Import duties and regulations are subject to change. Always verify current rates with CBIC and DGFT before placing orders. This guide is for informational purposes and does not constitute legal or financial advice.

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