Hyundai Motor India Limited has received an order from the Commissioner of Customs regarding the classification of imported air purifiers. The authority has demanded a differential duty of ₹7.27 crore, along with an equivalent penalty of ₹7.27 crore and a redemption fine of ₹7.47 crore. The company states there is no material impact on its operations and is currently evaluating its options to appeal the decision.
Details of the Customs Order
On April 21, 2026, Hyundai Motor India received an order from the Office of the Commissioner of Customs, Chennai – II (Imports). The order stems from a dispute regarding the classification of air purifiers, which the authorities allege were misclassified to claim a concessional duty rate of 7.5%.
Financial Implications
The regulatory authority has imposed significant financial liabilities stemming from the alleged short payment of customs duty. The breakdown of the total demand includes:
- Differential duty of ₹7,27,44,961
- A penalty amount equal to the differential duty at ₹7,27,44,961
- A redemption fine of ₹7,47,00,000
- Applicable interest, which remains to be quantified
Company Response and Future Outlook
Hyundai Motor India has confirmed that it is currently reviewing the contents of the order. The company is exploring legal options, including the possibility of filing an appeal to contest the findings. Despite the financial demands outlined in the order, the company has clarified that this development has no impact on its current financial performance, ongoing operations, or broader business activities.
Source: BSE
