India-UK FTA effective July 15, 2026: Scotch, luxury cars, EVs, cosmetics set to get cheaper

Import duties collapse under the India-UK FTA from July 15, 2026: cars 100% to 10%, EVs 110% to 10%, Scotch whisky 150% to 40%, cosmetics 40% to 0%. Quota allows 3.78 lakh UK vehicles into India over 15 years, reshaping premium retail pricing across auto, spirits, and beauty.

— Source publishedThu, 18 Jun, 2026, 16:38 IST·First seen Thu, 18 Jun, 2026, 17:20 IST·Source Business Today · Latest

What happened

India-UK FTA effective July 15, 2026 slashes import duties on UK cars (100% to 10%), EVs (110% to 10%), Scotch whisky (150% to 40%), and cosmetics (40% to 0%),

Key facts

  • 100% to 10% car duty
  • 110% to 10% EV duty
  • 150% to 40% whisky duty
  • 40% to 0% cosmetics duty
  • 3.78 lakh vehicles
  • 15 years
  • July 15, 2026

Why this matters

The 15-year 3.78 lakh UK vehicle quota and tariff collapse opens M&A and JV windows with UK premium brands seeking Indian distribution—lock partnership terms before duty arbitrage gets priced into deal multiples.