India has restricted imports of low priced suspension grade Polyvinyl Chloride (PVC) resin. The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce and Industry, issued Notification No. 25/2026-27 on 24 July 2026, moving S-PVC under ITC (HS) code 39041020 from Free to Restricted with immediate effect. Imports with a CIF value above USD 0.766 per kilogram, or USD 766 per tonne, remain free for six months from the date of publication. Cargoes at or below that value now require an import licence.
What the DGFT PVC Notification Changes
The measure functions as a Minimum Import Price on suspension grade PVC resin. The key facts are:
• Product covered is suspension grade PVC resin under ITC (HS) 39041020
• Import policy changes from Free to Restricted
• Price floor is USD 0.766 per kilogram on a CIF basis
• Validity is six months from the date of publication, expiring in late January 2027
• The change is effective immediately, with no transition window for cargoes already shipped
Who Is Exempt From the PVC Import Restriction
The price floor does not apply to imports by 100 percent Export Oriented Units, units in Special Economic Zones, or material brought in under the Advance Authorisation Scheme. The exemption is conditional. The imported resin must not be sold into the Domestic Tariff Area. Export linked converters are therefore insulated from the measure, while processors serving the domestic market are not.
Why India Restricted PVC Imports Now
The notification reverses a recent liberalisation. Basic Customs Duty on PVC and several other polymers was reduced to nil between 2 April and 30 June 2026 to ease input costs for downstream users. Within weeks of that window closing, the same resin has been placed under quantitative restriction.
It also sits on top of an existing trade remedy case. The Directorate General of Trade Remedies concluded its S-PVC anti dumping investigation in August 2025 and recommended duties on imports from China, Indonesia, Japan, Korea, Taiwan, Thailand and the United States, following a complaint by Chemplast Cuddalore Vinyls, DCM Shriram and DCW.
What PVC Buyers Should Consider
Procurement teams importing suspension grade PVC into India may consider four steps.
1. Audit in transit and LC committed cargoes. Orders concluded below USD 766 per tonne CIF carry customs exposure that must be resolved with suppliers before arrival.
2. Rebuild the landed cost model. The floor is a CIF test, so freight and insurance sit inside the calculation and Incoterm selection becomes a compliance lever.
3. Reassess origin mix rather than volume. India remains structurally short of PVC, so demand will still be met, but at or above the floor.
4. Plan for late January 2027. Whether the measure is extended, replaced by anti dumping duty, or allowed to lapse is the largest single variable in H1 2027 PVC contract negotiations.
Small and mid sized pipe, fittings and profile converters will absorb the first margin impact, with pass through into finished goods pricing likely by September 2026.
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