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Engineering goods

Export diesel engines

Stationary, genset, vehicle and marine diesel engines; Thailand, China and the USA buy most.

Free to exportHS 8408
HS code
8408
Compression-ignition internal combustion piston engines — diesel engines for vehicles, tractors, gensets, pumps and boats (HS 8408).
Export policy
Free to export
Free to export under ITC(HS) Schedule 2. Confirm the exact 8-digit line on the DGFT ITC(HS) search before shipping.
Registrations
3
IEC, GST and those below
India’s exports, 2025-26
US$ 1.38 bn
to 116 countries

What is exported

India exports small stationary engines from Rajkot and larger vehicle, tractor and genset engines from plants in Maharashtra, Tamil Nadu and North India. In 2025-26 India exported about US$ 1.38 billion under HS 8408; Thailand, China and the USA were the largest buyers, followed by Italy, Brazil and Turkey (Commerce Department data).

Varieties, grades and forms

  • Stationary diesel enginesSmall air- and water-cooled engines for pumps, gensets and agro-processing — Rajkot's speciality.
  • Engines for generating setsMulti-cylinder engines sold to genset assemblers.
  • Vehicle and tractor enginesEngines for trucks, buses and tractors, often to group plants abroad.
  • Marine enginesInboard and outboard engines for fishing boats (8408 10).
  • Industrial and construction enginesEngines for compressors, construction and mining equipment.

Where it is grown or made

  • GujaratRajkot — small stationary diesel engine cluster
  • MaharashtraPune, Kolhapur and Satara
  • Tamil Nadu and KarnatakaChennai, Coimbatore and Hosur
  • Haryana, Punjab and Uttar PradeshFaridabad, Ludhiana and Greater Noida

Export packing

  • Engines are drained, rust-protected (VCI film or preservative oil), bolted to skids and boxed in heat-treated wooden crates or steel frames.
  • Crates are marked with model, serial number, weight, lifting points and "this way up".
  • Wooden crates and skids must carry the ISPM 15 mark.

Who buys abroad

  • Genset and pump-set assemblers
  • Vehicle and tractor plants (group companies)
  • Distributors in Africa, the Middle East and South-East Asia
  • Boat builders (marine engines)

The quality buyers ask for

Power rating
kW or hp at rated rpm, continuous and prime ratings (ISO 3046 / ISO 8528 for gensets)
Emissions
EU Stage V (Regulation (EU) 2016/1628), US EPA Tier 4; many export markets accept lower stages — check the importing country
Fuel consumption
Specific fuel consumption (g/kWh) at rated load
Configuration
Air- or water-cooled, number of cylinders, starting method, PTO and mounting

Certificates

  • EU Stage V type approvalOften askedNeeded for non-road engines placed on the EU market.
  • US EPA certificate of conformityOften askedNeeded for engines sold in the USA.
  • Marine classification (for marine engines)Often askedFishing and commercial vessels often need engines approved by a classification society and IMO NOx certificates for larger engines.
  • ISO 9001Often askedQuality management system; expected by most industrial buyers.

Shipping, storage and shelf life

Container load

Crated engines in 20-ft or 40-ft containers; small stationary engines are typically loaded by the hundred in a 40-ft container (trade practice).

How it travels

Sea from Mundra, Pipavav and Nhava Sheva (Rajkot and Pune) or Chennai.

Storage

Dry storage with preservative oil; turn the crankshaft periodically if stored for months.

What goes on the pack and carton

  • Engine nameplate: maker, model, serial number, rated power and speed.
  • Emission label where required (EU Stage V, US EPA).
  • Operation and maintenance manual in the market language.
Where to get it tested

ARAI (Pune) and ICAT (Manesar) test engine emissions and performance. For EU or US certification, work with a technical service the approval authority recognises. Search the NABL directory for 'engine' for other labs.

Benefits of exporting this product

Where to register

  • EEPC India (Engineering Export Promotion Council)RCMC — internal combustion engines and parts are under EEPC (DGFT Appendix 2T).eepcindia.org ↗

Quality and checks

  • Emission rules decide market access: EU Stage V and US EPA Tier 4 for non-road engines; many other markets accept lower levels.
  • Performance test sheet for every engine serial number.
  • Wooden crates and skids must meet ISPM 15.
How to start small

Rajkot's small engine makers sell to pump-set and genset assemblers and agricultural dealers in Africa, the Middle East and South-East Asia. Start there with a proven engine, spares support and EEPC membership.

Where new exporters go wrong

  • Shipping engines that do not meet the destination emission rules.
  • Rust from poor preservation on long voyages.
  • No spares support — distributors drop the brand.

Documents this product needs

Schemes that apply

Sources (5)
  1. Department of Commerce, Export Import Data Bank — India's exports of HS 8408 by country, 2025-26
  2. DGFT — Appendix 2T: Export Promotion Councils and the products under each
  3. DGFT — ITC(HS) export policy search (Schedule 2)
  4. European Commission — Emissions from non-road mobile machinery (Regulation (EU) 2016/1628)
  5. US EPA — Regulations for emissions from nonroad vehicles and engines

Trade data

Indian diesel engines exports in numbers

From the Department of Commerce’s TradeStat, country by country. US$, Indian financial years (April–March).

Exports in 2025-26
US$ 1.38 bn
+8.9% a year on average, 2020-21 to 2025-26
Change from 2024-25
↑ +3.8%
US$ 1.33 bn → US$ 1.38 bn
Buyer countries
116
Average export price
US$ 3061.29
per kg · 450 tonnes shipped · US$ 3307.42 the year before
Thailand: US$ 377 mnChina: US$ 311 mnUnited States of America: US$ 111 mnItaly: US$ 52.3 mnBrazil: US$ 52.1 mnTürkiye: US$ 51.8 mnUnited Arab Emirates: US$ 44.9 mnSouth Africa: US$ 40.3 mnVietnam: US$ 40.1 mnEgypt: US$ 33.7 mnUnited Kingdom: US$ 26.1 mnArgentina: US$ 23.3 mnGermany: US$ 22.9 mnSingapore: US$ 22.6 mnJapan: US$ 16 mnFrance: US$ 12.4 mnNetherlands: US$ 11.1 mnAustralia: US$ 10.7 mnSouth Korea: US$ 9.3 mnIndonesia: US$ 9.1 mnNigeria: US$ 7.7 mnMexico: US$ 7.5 mnTaiwan: US$ 7.3 mnAlgeria: US$ 6 mnThailand: US$ 377 mnThailandChina: US$ 311 mnChinaUnited States of America: US$ 111 mnUnited States of AmericaItaly: US$ 52.3 mnItalyBrazil: US$ 52.1 mnBrazilTürkiye: US$ 51.8 mnUnited Arab Emirates: US$ 44.9 mnUnited Arab EmiratesSouth Africa: US$ 40.3 mnVietnam: US$ 40.1 mnEgypt: US$ 33.7 mnUnited Kingdom: US$ 26.1 mnArgentina: US$ 23.3 mnGermany: US$ 22.9 mnSingapore: US$ 22.6 mnJapan: US$ 16 mnFrance: US$ 12.4 mnNetherlands: US$ 11.1 mnAustralia: US$ 10.7 mnSouth Korea: US$ 9.3 mnIndonesia: US$ 9.1 mnNigeria: US$ 7.7 mnMexico: US$ 7.5 mnTaiwan: US$ 7.3 mnAlgeria: US$ 6 mnIndia
Where Indian diesel engines goes — among our 80 countries, 2025-26
2020-21: US$ 899 mn8992020-212021-22: US$ 1.26 bn1.3k2021-222022-23: US$ 1.37 bn1.4k2022-232023-24: US$ 1.29 bn1.3k2023-242024-25: US$ 1.33 bn1.3k2024-252025-26: US$ 1.38 bn1.4k2025-26
India’s diesel engines exports, year by year · US$ million

The price cycle

India’s average export price per kg each year (total value ÷ total quantity). Highest in 2024-25, lowest in 2020-21 — a 41% swing between them. Keep this swing in mind when you quote.

2020-21: US$ 2344.08 per kg2344.082021-22: US$ 2900.26 per kg2022-23: US$ 3045.90 per kg2024-25: US$ 3307.42 per kg3307.422025-26: US$ 3061.29 per kg3061.292020-212021-222022-232023-242024-252025-26
Average export price of Indian diesel engines · US$ per kg · dotted = year in between not available

What next: a projection from the trend

The past trend carried forward — not a forecast by any authority. Sudden changes in policy, prices or demand are not in it.

2020-21: US$ 899 mn2020-212021-22: US$ 1.26 bn2021-222022-23: US$ 1.37 bn2022-232023-24: US$ 1.29 bn2023-242024-25: US$ 1.33 bn2024-252025-26: US$ 1.38 bn2025-262026-27: US$ 1.55 bn (US$ 1.32 bn – US$ 1.83 bn)1.6k2026-272027-28: US$ 1.66 bn (US$ 1.38 bn – US$ 1.99 bn)1.7k2027-28
India’s diesel engines exports and projection · hollow bars = projection, line = likely range
By 2027-28: US$ 1.66 bn

Likely range US$ 1.38 bn to US$ 1.99 bn.

Trend
+6.6% a year
Fit (R²)
0.55
Based on
6 years of official figures

Method: a straight line through the logarithm of yearly exports (log-linear regression); range = ±1 standard error.

Biggest buyer countries

By value in 2025-26. Change is against 2024-25.

Name2025-26Change
1ThailandUS$ 377 mn-6.8%
2ChinaUS$ 311 mn+13.3%
3United States of AmericaUS$ 111 mn+18.2%
4ItalyUS$ 52.3 mn+6.5%
5BrazilUS$ 52.1 mn+1.2%
6TürkiyeUS$ 51.8 mn-9.2%
7United Arab EmiratesUS$ 44.9 mn+18.5%
8South AfricaUS$ 40.3 mn+176.8%
9VietnamUS$ 40.1 mn+10.8%
10EgyptUS$ 33.7 mn+67.7%
11United KingdomUS$ 26.1 mn+1.1%
12ArgentinaUS$ 23.3 mn-68%

Where demand is rising and falling

Only countries that buy at least US$ 1 million or 1% of India’s exports of this product. Change from 2024-25 to 2025-26.

High demand

  1. South AfricaUS$ 14.6 mn → US$ 40.3 mn+176.8%
  2. EgyptUS$ 20.1 mn → US$ 33.7 mn+67.7%
  3. JapanUS$ 10.6 mn → US$ 16 mn+50.8%
  4. United Arab EmiratesUS$ 37.9 mn → US$ 44.9 mn+18.5%
  5. United States of AmericaUS$ 94 mn → US$ 111 mn+18.2%
  6. ChinaUS$ 275 mn → US$ 311 mn+13.3%
  7. VietnamUS$ 36.2 mn → US$ 40.1 mn+10.8%

Low demand

  1. ArgentinaUS$ 72.7 mn → US$ 23.3 mn-68%
  2. South KoreaUS$ 19.1 mn → US$ 9.3 mn-51.3%

New buyers: Countries that bought nothing from India in 2024-25 and did in 2025-26.

  • Unspecified · US$ 5 mn

Which forms sell, and at what price

India’s exports by 8-digit tariff line, 2025-26. Average price = total value ÷ total quantity (TradeStat): the average of every shipment on that line, not the price of any one deal.

Tariff lineValue 2025-26ChangeQuantityAverage price
Engines of cylndr cpcty>250 cc8408 20 20 · Engines, compression-ignition internal combustion piston engines, of a kind used for the propulsion of…US$ 567 mn-4.7%210k piecesUS$ 2698.25 per piecewas US$ 2775.40
Engines, compression-ignition internal combustion piston engines, of a kind used for other than marine… — others-of-other engines:8408 90 90US$ 532 mn+3%144k piecesUS$ 3695.07 per piecewas US$ 4994.97
Stationary engines of cylndr cpcty>50 cc8408 90 10 · Engines, compression-ignition internal combustion piston engines, of a kind used for other than marine…US$ 267 mn+25.9%84k piecesUS$ 3192.50 per piecewas US$ 2994.99
Engns,excluding outboard,of cylndr cpcty>250 cc8408 10 93 · Engines, for marine propulsion, compression-ignition internal combustion piston enginesUS$ 9.1 mn+154.9%3k piecesUS$ 3475.42 per piecewas US$ 2517.73
Engines, for marine propulsion, compression-ignition internal combustion piston engines — out board engines8408 10 10US$ 1.5 mn+169.1%3k piecesUS$ 443.51 per piecewas US$ 3691.28
Engns of cylndr cpcty>50 cc but <=250 cc8408 20 10 · Engines, compression-ignition internal combustion piston engines, of a kind used for the propulsion of…US$ 1.1 mn+267.7%6k piecesUS$ 197.88 per piecewas US$ 28.85
Engines,other than outboard,of a cylinder capacity>50 cc but <=100 cc8408 10 91 · Engines, for marine propulsion, compression-ignition internal combustion piston enginesUS$ 120k+100%620 piecesUS$ 193.55 per piecewas US$ 90.23

The world market

Each country’s own recorded exports and imports in UN Comtrade, 2023 (the latest year nearly every country has reported).

World imports
US$ 50.8 bn
2023
India among exporters
#14
of 146 countries
India’s share of world exports
2.7%
US$ 1.3 bn
Left for others to win
US$ 47.3 bn
exported by other countries

Top exporters — your competitors

  1. 1USAUS$ 7.58 bn 15.6%
  2. 2GermanyUS$ 6.96 bn 14.3%
  3. 3United KingdomUS$ 4.37 bn 9%
  4. 4JapanUS$ 3.75 bn 7.7%
  5. 5SwedenUS$ 3.09 bn 6.4%
  6. 6FranceUS$ 2.89 bn 5.9%
  7. 7PolandUS$ 2.63 bn 5.4%
  8. 8ChinaUS$ 2.54 bn 5.2%
  9. 9ItalyUS$ 2.12 bn 4.4%
  10. 10MexicoUS$ 1.73 bn 3.6%

Biggest buyers in the world

  1. 1MexicoUS$ 6.66 bn 13.1%
  2. 2USAUS$ 6.27 bn 12.4%
  3. 3GermanyUS$ 4.46 bn 8.8%
  4. 4ChinaUS$ 3.45 bn 6.8%
  5. 5TürkiyeUS$ 3.16 bn 6.2%
  6. 6FranceUS$ 2.09 bn 4.1%
  7. 7SpainUS$ 1.84 bn 3.6%
  8. 8PolandUS$ 1.41 bn 2.8%
  9. 9ItalyUS$ 1.4 bn 2.8%
  10. 10CanadaUS$ 1.39 bn 2.7%

Opportunity: what these countries buy from the world, and from India

Each country’s own recorded imports in UN Comtrade, latest year it has reported. The long light part of each bar is demand other countries are filling today.

United States of AmericaUS$ 6.25 bnIndia 1.5% · gap US$ 6.16 bn
GermanyUS$ 3.42 bnIndia 0.6% · gap US$ 3.4 bn
ChinaUS$ 3.34 bnIndia 9.5% · gap US$ 3.02 bn
FranceUS$ 1.74 bnIndia 3.3% · gap US$ 1.69 bn
SpainUS$ 1.69 bnIndia 0.5% · gap US$ 1.69 bn
CanadaUS$ 1.48 bnIndia 0.1% · gap US$ 1.47 bn
United KingdomUS$ 1.32 bnIndia 2.6% · gap US$ 1.29 bn
ItalyUS$ 1.1 bnIndia 4.6% · gap US$ 1.05 bn
NetherlandsUS$ 824 mnIndia 0.1% · gap US$ 823 mn
IndonesiaUS$ 778 mnIndia 12.7% · gap US$ 680 mn

TradeStat’s 2023-24 quantities are double-counted, so that year is left out of the price. Sources: TradeStat — Export Import Data Bank, Department of Commerce · UN Comtrade database (United Nations Statistics Division) · Figures taken 29 October 2026.

Step by step

How to export diesel engines

India makes diesel engines for its own tractors, trucks, gensets and pumps, and exports a growing share, both small stationary engines from Rajkot and larger engines from multinational and Indian plants. China and Japan are major competitors, and emission rules decide which markets are open: the EU and USA demand Stage V or Tier 4 engines, while much of Africa, the Middle East and South Asia accept older technology. In 2025-26 Thailand, China and the USA were the largest buyers (Commerce Department data), largely engine plants supplying their group companies. Openings are in small engines for pumps and gensets in Africa and Asia, and in marine engines for fishing fleets.

  1. 01Choose engine type and market

    Match emission level and power range to what the market allows.

  2. 02Register with EEPC India

    IC engines and parts are under EEPC (DGFT Appendix 2T).

  3. 03Certify where needed

    Emission certificates for the EU or USA; buyer-specified performance tests elsewhere.

  4. 04Test each engine

    Run-in and performance test with a test sheet for every serial number.

  5. 05Preserve and crate

    Drain, apply preservative, bolt to skids and crate in ISPM 15 wood.

  6. 06Ship and claim benefits

    File the shipping bill on ICEGATE with the correct 8-digit HS code, declare RoDTEP and drawback, and keep the mill or test certificates with the export file.

  7. 07Support spares

    Ship a spares kit and keep parts available; distributors judge suppliers on spares.

Meet buyers

Trade fairs

Questions

Questions about exporting diesel engines

Can I sell older-emission engines abroad?
Only where the importing country allows them. The EU and USA require current stages; many African and Asian countries do not yet — check each market.
What incentives apply?
RoDTEP of 0.5% and drawback of 1.5% of FOB on HS 8408.
Is a genset an engine?
No. A complete generating set is HS 8502; a bare engine is HS 8408. Use the right code.
Who buys small stationary engines?
Pump-set and genset assemblers and agricultural machinery dealers, mostly in Africa, the Middle East and South-East Asia.
What goes wrong in transit?
Rust from poor preservation, broken parts from weak crates and water in fuel systems. Preserve, crate and inspect.
Sources (8)
  1. EEPC India (Engineering Export Promotion Council) — official site
  2. DGFT — Appendix 2T: Export Promotion Councils and the products under each
  3. European Commission — Emissions from non-road mobile machinery (Regulation (EU) 2016/1628)
  4. US EPA — Regulations for emissions from nonroad vehicles and engines
  5. ARAI (Automotive Research Association of India), Pune — testing and homologation
  6. DGFT — Appendix 4R, RoDTEP schedule for DTA exports w.e.f. 10.10.2024 (Notification 32/2024-25); rates continued to 31.12.2026 by Notification 41/2026-27
  7. Gazette of India — Notification 77/2023-Customs (N.T.) dated 20.10.2023: All Industry Rates of duty drawback
  8. Department of Commerce, Export Import Data Bank — India's exports of HS 8408 by country, 2025-26

Who buys Indian diesel engines

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