MCIA Response to India-UK Free Trade Agreement July 2025
MCIA Response to UK-India Free Trade Agreement
As a key part of the nation’s advanced manufacturing landscape—exporting globally and supporting highly skilled jobs— the Motorcycle Industry Association (MCIA) welcomes last week’s announcement by the Government regarding the signing of the Free Trade Agreement (FTA) between the UK and India.
Early information suggests that under the deal, India will reduce its import duties on select UK vehicles from over 100% to 10% within a quota system, although liberalisation is phased and some sub-segments (such as certain hybrid/electric vehicles) face different timelines. UK duties on Indian component exports could also be reduced to 0% from their current 4–16%. However, it remains to be seen what constitutes ‘automotive’ from the UK Government’s point of view and, therefore, the extent to which the UK motorcycle and wider L-Category industry can benefit.
The signing of the agreement was marked by a high-profile visit by Prime Minister Narendra Modi and UK Prime Minister Keir Starmer to Norton Motorcycles, a member of MCIA. Their visit highlighted the world-class capability of UK motorcycle manufacturing and the prominence of British brands on the global stage.
MCIA CEO, Tony Campbell, said:
“It is hugely encouraging to see the UK Government recognise the strength of UK motorcycle manufacturing, exemplified by household names like Triumph Motorcycles and Norton. The high-profile visit by both Prime Ministers sends a strong signal about the opportunities that the India-UK Free Trade Agreement could unlock for our sector.
It’s imperative the Government now follows through with clear action to ensure the whole UK motorcycle and wider L-Category industry can take full advantage of this agreement.”
MCIA has already written to the Department for Business and Trade (DBT) and will continue to engage closely with government to identify the practical implications of the deal and secure tangible opportunities for the UK motorcycle and L-Category industry.