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Explained: Why The Union Budget's Hike In Customs Duty In LED Components May End Up Helping Chinese Imports

Explained: Why the Union Budget s hike in customs duty in LED components may end up helping Chinese imports
Customs duty hike is imposed only on components used in LED light manufacturing and not on fully imported LED lighting.
Light bulb
Finance Minister Nirmala Sitharaman announced in Budget 2021 that there will be a rise in customs duty for importing LED light components like LED driver or MCPCB (metal core printed circuit board) from 5 percent to 10 percent. This announcement was to encourage domestic manufacturing for lighting solutions.
However, LED makers are upset with this move since this duty hike would automatically lead to a rise in prices of bulbs by 5-7 percent. ....

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