India has reversed its earlier policy of tax-free imports of missile parts, reinstating older customs regulations that exclude certain parts used in small-range missiles. This decision follows an investigation into Gautam Adani’s group regarding alleged tax evasion related to imports of short-range missile components. The initial exemption, aimed at boosting domestic defense production, was seen as a significant regulatory shift but has now been curtailed without public explanation. The development highlights the government’s cautious approach in the defense sector, especially amid scrutiny of major players like Adani Defence, potentially impacting the broader landscape of India’s defense manufacturing capabilities and foreign partnerships in the industry.