The Government of India has extended Quality Control Order (QCO)-linked import exemptions for key compressors used in air conditioners, refrigerators, and heat pumps until March 31, 2027, according to a notification issued on Saturday. The decision is aimed at easing supply-side constraints in the consumer durables sector while giving manufacturers additional time to scale up domestic production.

The move comes amid ongoing concerns from industry players over stricter compliance requirements under QCO norms, which regulate the quality and sourcing standards of imported components. Authorities said the extension will help balance localisation goals with the immediate need to ensure uninterrupted availability of critical parts, particularly ahead of peak summer demand when cooling appliance sales typically surge.

Under the revised framework, manufacturers will be allowed to import certain categories of compressors for captive use without full QCO restrictions, but within specified limits based on their import volumes during the 2024–25 financial year. The policy introduces differentiated caps depending on compressor type, reflecting varying levels of domestic manufacturing capability across segments.

Also Read: Frontier Airlines Flight Involved In Runway Pedestrian Collision And Engine Fire Incident

According to the notification, import allowances include up to 40% for small reciprocating compressors used in refrigerators, 30% for small rotary compressors used in air conditioners and heat pumps, 90% for larger scroll and rotary compressors, and up to 100% for large rotary compressors used in variable refrigerant flow (VRF) systems. The higher relaxation for advanced systems reflects limited domestic production capacity in high-end segments.

The government clarified that companies availing the exemption must maintain detailed monthly records of imported goods and submit them to the relevant authorities. Manufacturers are also required to present a structured indigenisation roadmap outlining how they plan to reduce import dependence over time and expand local sourcing of components.

Officials said the extension strikes a balance between promoting domestic manufacturing under the “Make in India” initiative and preventing disruptions in supply chains for essential consumer appliances. The policy is expected to provide relief to air conditioner and refrigerator manufacturers, many of whom rely on imported compressors for maintaining production continuity during high-demand seasons.

Also Read: VCK Extends Support To TVK, Strengthening Vijay’s Position In Tamil Nadu Politics