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Indian automakers seek an exemption from a government-imposed anti-dumping duty on PCBs from China and Hong Kong, citing quality, price, and capacity issues. The duty, effective for five years, is raising procurement costs by 30%, impacting vehicle prices.

The Indian government is promoting local manufacturing of intelligent electronic components and has imposed a five-year anti-dumping duty on PCBs from China and Hong Kong, claiming these imports harm the domestic industry.

Society of Indian Automobile Manufacturers (SIAM) declined to comment, but the SIAM highlights domestic production challenges, including inadequate advanced technology and materials. SIAM stresses that PCBs are vital for vehicle safety and emission control systems.

Indian PCB manufacturers argue they need firm commitments from the auto industry to invest in capacity, despite having the necessary technology and skills. They also support the anti-dumping duty to boost domestic production against cheaper Chinese imports.

Indian automakers are urging local PCB manufacturers to improve quality, fearing that an anti-dumping duty would raise prices due to current capacity shortages, a top auto industry executive said on condition of anonymity. Some automakers are already signaling their demand to local producers, with more expected to follow.

Automobiles represent the second-largest market for PCB manufacturers in India, after consumer durables. According to IPCA, they supply nearly ₹500 crore (435 million yuan) worth of PCBs to the automobile industry each year, meeting approximately 25-30% of the demand. Key PCB suppliers to Indian auto companies include Genus Electrotech, Ascent Circuits, and CIPSA-TEC, along with numerous small and medium enterprises (SMEs) contributing to this manufacturing ecosystem.

Editor：Lulu

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