In Short:
India has extended its import management system for IT hardware like PCs, laptops, and tablets until December 31, 2024. Importers must apply for new authorizations starting January 1, 2025. While imports amounted to $8.4 billion in 2023-24, concerns about restrictions affecting supply led to this decision. Experts suggest enforcing these measures may encourage foreign tech firms to increase local production.
NEW DELHI: On Tuesday, India announced an extension of the existing import management system (IMS) for specific IT hardware products, including personal computers, laptops, and tablets, until December 31, 2024.
The Directorate General of Foreign Trade (DGFT) clarified that importers must apply for new authorizations for the period starting January 1, 2025, with detailed guidelines expected to be released soon. The deadline for reviewing the current system has been set for September 30.
As reported by ET, the Indian government is considering extending the import authorization system, with the Ministry of Electronics and IT (MeitY) supporting this extension. In the fiscal year 2023-24, the imports of these products totaled $8.4 billion, slightly below the authorized amount of approximately $9.5 billion.
According to officials, a detailed monitoring analysis indicated that the majority of remaining imports originated from Hong Kong and South East Asia, with imports from the United States accounting for around $500-600 million.
The DGFT further confirmed that importers are permitted to apply for import authorizations that will be valid until December 31, 2024. Moreover, existing import authorizations issued up to September 30, 2024, will remain valid until the end of the year.
Initially, on August 3, 2023, the Indian government implemented import restrictions on laptops, tablets, all-in-one personal computers, ultra-small form factor computers, and servers. Following industry concerns regarding these restrictions, the government introduced an import management and authorization system in October last year to monitor inbound shipments without negatively impacting market supply.
Importers may apply for multiple authorizations, which will be valid until September 30, 2024. These authorizations will cover any number of consignments imported during this period. To date, the government has approved approximately 110 applications as part of this system, with major firms such as Dell International Services India, Apple India, HP India Sales Pvt Ltd, Lenovo (India), ASUS India, IBM India, Samsung India Electronics, Xiaomi Technology India, Cisco Commerce India, Siemens Ltd, and Bosch Ltd receiving authorization.
In light of these developments, the think tank Global Trade Research Initiative (GTRI) emphasized the need for India to finalize and enforce laptop import restrictions, suggesting that delays may have been influenced by concerns from the United States. GTRI founder Ajay Srivastava stated, “It’s time for India to enforce these measures and boost local production. Such restrictions would motivate American tech giants like Apple, Dell, and HP, which currently manufacture in China, to establish operations in India.”
