The Finance Ministry has notified the Customs Tariff Rules 2026 to determine the origin of goods under the India-UK Comprehensive Economic and Trade Agreement (CETA), effective from July 15, 2026. The framework mandates that products must fulfill strict local value-addition thresholds ranging between 35% and 55% to prevent third-country routing and ensure benefits only reach genuine manufacturers. For instance, passenger cars require a minimum of 35% qualifying value content (QVC) to secure preferential lower duties, while vehicle kits and auto parts demand 45% to 55% local value addition. Under CETA, India will reduce duties on UK-made cars to 10% from 110% over 15 years under a specific quota, while Indian-made electric vehicles and hybrids will enjoy immediate duty-free access to the UK. Certain agricultural products like meat, fish, spices, tea, and coffee must be wholly obtained locally, whereas spirits like whiskey and gin will see immediate duty cuts from 150% to 75%, gradually lowering to 40% by the 10th year.