MNRE Allows Concessional Duty on Forged Steel Rings Used in Wind Turbines

The Ministry of New and Renewable Energy (MNRE) has issued a circular enabling concessional customs duty benefits for the import of forged steel rings used in manufacturing specialised bearings for wind turbine generators, a move expected to ease supply-chain costs for the domestic wind sector.

In the circular, MNRE said the decision follows the Department of Revenue’s Notification dated January 1, 2026. The ministry stated that a new clause has been inserted in Table 1 covering “forged steel rings, falling under tariff item 7326 9099, for the manufacture of special bearings for use in wind-operated electricity generators.”

MNRE Clarifies Procedure 

The ministry further clarified the procedure for availing the benefit, noting that “the CCDC applications are to be submitted along with the supporting documents such as Invoices/Packing Lists corroborating with tariff item 7326 9099 on the MNRE Wind CCDC portal, so as to enable this Ministry to issue Concessional Customs Duty Certificates (CCDCs) for import of forged steel rings.”

The circular, issued with the approval of the competent authority, effectively brings a critical upstream component of the wind turbine supply chain under the concessional duty framework.

Where Forged Steel Rings Are Used?

Forged steel rings form the base material for large, precision bearings used in key turbine assemblies such as the main shaft, gearbox and generator. While India has developed significant domestic manufacturing capacity for turbines and components, the country continues to rely on imports for high-precision bearing-grade forged rings due to specialised metallurgy and heavy forging requirements.

Industry stakeholders have long sought clarity on the customs classification of these imports, which were often treated as generic steel products and subjected to higher duties. The new clarification is expected to lower import costs and reduce procedural uncertainty for wind turbine manufacturers.

The move comes as India seeks to accelerate wind capacity additions and strengthen domestic manufacturing under its renewable energy expansion plans. By easing input costs for turbine manufacturing, the concessional duty mechanism is likely to improve project economics and enhance the competitiveness of wind power in upcoming auctions.