8. There is no change in the peak rate of basic customs duty of 10%. The existing rates of 2%, 2.5% and 3% are being fused into a single rate of 2.5%. Consequently, all items that hitherto attracted basic customs duty of 2% or 3% would now be chargeable to 2.5%.

Customs duty consolidation narrows multiple lower duty rates into a single uniform lower rate while preserving the peak rate. Consolidation of the basic customs duty merges existing lower-tier rates into a single lower-tier rate while the existing peak basic customs duty remains unchanged, resulting in reclassification of all goods previously chargeable under the lower-tier rates to the new single rate and simplifying the tariff banding for lower-rate imports.