How is IGST calculated on imports from China to India?

IGST = IGST Rate × (CIF Value + BCD + SWS). For example, on a CIF value of ₹5,00,000 with 10% BCD and 18% IGST: BCD = ₹50,000; SWS = ₹5,000; IGST base = ₹5,55,000; IGST = ₹99,900. Total duty = ₹1,54,900. GST-registered importers can claim the full ₹99,900 IGST as input tax credit.

Can I reclaim IGST paid on imports from China?

Yes — if you are registered under India's GST framework (GSTIN holder). IGST paid at customs is fully available as Input Tax Credit (ITC) that can be offset against your output GST liability. Non-registered importers (below ₹40 lakh or ₹20 lakh threshold) cannot reclaim IGST — it becomes a permanent import cost.

Does India have anti-dumping duties on goods from China?

Yes — India has one of the most active anti-dumping programs globally. Hundreds of Chinese product categories are subject to ADD orders, including chemicals, steel, textiles, electronics components, rubber goods, and many more. ADD is assessed separately from BCD and SWS and is NOT available as IGST input tax credit. Always check CBIC DGTR notifications before importing.

What exchange rate does India Customs use to convert USD CIF to INR?

CBIC issues a monthly notification setting the official exchange rate for customs purposes. This rate is typically close to the RBI reference rate but may differ slightly. The official customs exchange rate (not your bank rate) must be used to calculate the CIF value in INR for duty assessment purposes.

🏛️ Import Duties & Taxes

India IGST Import Calculator — China to India Tax & Duty Cost

Use our india igst import calculator to calculate iGST, Basic Customs Duty, and Social Welfare Surcharge on goods imported from China to India. Shows recoverable IGST for GST-registered importers.

Updated: 2026-04-14

Planning Reference

Rates Last Reviewed April 2026

Reference Basis

Based on published HTS, CBP, USTR, and other official tariff guidance in effect at the last review date.

Planning Note

Use this for planning. Final duty liability depends on HTS classification, origin, exclusions, non-stacking rules, and customs review.

Primary opportunity

india igst import calculator
Medium SERP difficulty

CIF Value (Assessable Value) INR CIF value in INR = (FOB price × exchange rate) + freight + insurance. Indian customs assesses duty on CIF value.

Basic Customs Duty (BCD) Rate % BCD varies by HS code. Common rates: Electronics 0–10%, Machinery 7.5–10%, Textiles 10–20%, Consumer goods 10–20%.

IGST Rate IGST rate matches the domestic GST rate for the product. GST-registered importers can claim IGST as input tax credit.

Anti-Dumping Duty (ADD) Rate % India has many ADD orders on Chinese goods. Check CBIC notifications for your product. Enter 0 if no ADD applies.

Social Welfare Surcharge SWS is 10% of the Basic Customs Duty amount. It is calculated on BCD, not on the CIF value.

India Import Tax Structure — Understanding BCD, SWS, and IGST

Importing from China to India involves three layers of customs levies, each calculated in a specific sequence:

BCD (Basic Customs Duty) — assessed on the CIF assessable value
SWS (Social Welfare Surcharge) — 10% of the BCD amount (not of CIF)
IGST (Integrated GST) — assessed on CIF + BCD + SWS combined

Understanding this cascading structure is essential — each levy feeds into the base for the next, making the total tax burden higher than the individual rates suggest.

How IGST on Imports Differs from Domestic GST

IGST on imports is economically equivalent to the domestic GST rate on the same product. The key difference: IGST at customs is paid upfront, before you sell the goods, whereas domestic GST is collected at the point of sale.

The key advantage for GST-registered importers: IGST paid at import is 100% creditable as input tax credit (ITC). It can be offset against any output GST you owe, or carried forward as a credit balance. This makes IGST effectively cost-neutral for most B2B importers registered under GST.

For non-GST-registered importers (small businesses, individuals), IGST is a permanent cost — there is no recovery mechanism.

India Import Duty Example — Machinery from China

Scenario: Importing industrial machinery from Guangzhou (CIF value ₹10,00,000, BCD 7.5%, IGST 12%)

Component	Calculation	Amount
CIF Assessable Value	—	₹10,00,000
BCD (7.5%)	10,00,000 × 7.5%	₹75,000
SWS (10% of BCD)	75,000 × 10%	₹7,500
IGST Base	10,00,000 + 75,000 + 7,500	₹10,82,500
IGST (12%)	10,82,500 × 12%	₹1,29,900
Total Duty & Taxes	—	₹2,12,400
Total Landed Cost	—	₹12,12,400
IGST recoverable (GST-reg.)	—	₹1,29,900
Effective cost (GST-reg.)	—	₹10,82,500

Anti-Dumping Duties (ADD) — A Major Risk for China Importers

India has issued anti-dumping duty orders on hundreds of Chinese product categories. Unlike BCD and SWS, ADD is:

NOT available as input tax credit
Product-specific (even within the same HS code)
Exporter-specific in some cases (your specific factory may have a different rate)
Subject to change via CBIC notifications

How to check: Search the CBIC DGTR (Directorate General of Trade Remedies) website at commerce.gov.in/dgtr for your product description and HS code before placing any order from China.

India Customs Valuation Notes

Indian customs uses CIF value as the assessable base — which is the sum of:

FOB price of goods (in USD, converted at CBIC official rate)
International freight charges
Insurance premium

If your supplier invoices on FOB terms, add your actual freight and insurance costs to arrive at the CIF assessable value in USD, then convert to INR using the CBIC monthly exchange rate notification.

Frequently Asked Questions

Tips for China Importers

Look up your HS code first. Your HTS/HS code determines your duty rate. Use hts.usitc.gov (US), trade.gov.uk/tariff (UK), or cbsa-asfc.gc.ca (Canada) — not your supplier's guess.
Check for Section 301 exemptions. Some products have granted exclusions at ustr.gov. These can eliminate the additional 7.5–25% tariff entirely. Verify before every order.
First Sale Valuation can lower your duty base. If buying through a trading company, CBP may allow you to declare the factory price (not the middleman price) as the dutiable value — ask your customs broker.
Get a Binding Ruling for anything uncertain. CBP can issue a written classification ruling at no charge through its binding-ruling process. It can help when your product classification is unclear.
Keep import records for 5 years. CBP can audit any entry up to 5 years post-import. Store your commercial invoices, packing lists, and entry summaries.