GST Classification of AAC Blocks: Gujarat Advance Ruling GUJ/GAAR/R/2026/18
The Gujarat Authority for Advance Ruling confirmed that Autoclaved Aerated Concrete (AAC) blocks are classified under Heading 6810, not as ceramic bricks.
- Ruling
- ADVANCE RULING NO. GUJ/GAAR/R/2026/18, dated 08.05.2026
- Dated
- 08 May 2026
- Authority
- Authority for Advance Ruling
This page was written by Patron Accounting’s AI from the official release and reviewed before publishing. It explains the document in plain language. It is not the document itself. Where this page and the original differ, the original governs.
The short version
- The company asked if AAC blocks qualify as ceramic building bricks.
- The Authority ruled AAC blocks do not meet ceramic firing requirements.
- AAC blocks must be classified under Heading 6810 as concrete articles.
In short
The company asked the Gujarat Authority for Advance Ruling (GAAR) to classify their Autoclaved Aerated Concrete (AAC) blocks as ceramic building bricks under Heading 6904. They argued that their manufacturing process made the blocks ceramic. The Authority disagreed, stating that because the blocks are not fired at high temperatures, they cannot be classified as ceramics.
What has changed
How it worked before
Businesses were uncertain whether AAC blocks should be classified as ceramic products or as concrete articles, leading to potential confusion regarding the correct GST rate.
What has changed
The Authority confirmed that AAC blocks are classified under Heading 6810 as articles of cement or concrete. This means businesses must apply the GST rate associated with concrete products rather than the rate for ceramic bricks.
Who this affects
Manufacturers and suppliers of Autoclaved Aerated Concrete (AAC) blocks.
An example
A construction material supplier produces AAC blocks using a similar autoclaving process. They were considering classifying their goods as ceramic bricks to potentially benefit from a different tax category. Based on this ruling, they should continue to classify their blocks under Heading 6810 to avoid misclassification penalties.
What you should do
If you manufacture AAC blocks, you should classify them under Heading 6810. Remember that this ruling only binds the company that asked; your local tax officer may still have a different view on your specific product, so consult your tax advisor before changing your classification.
If you do nothing
If you classify your goods incorrectly, you risk paying the wrong amount of GST. A tax officer may issue a notice for tax evasion or underpayment, leading to interest charges and penalties. Relying on a ruling that does not apply to your specific business setup can be costly.
The terms explained
- Autoclaved Aerated Concrete (AAC)
- A lightweight, precast building material made with cement, sand, and air-entraining agents, cured in a pressurized steam chamber.
- Heading 6810
- A category in the Customs Tariff Act that covers articles made of cement, concrete, or artificial stone.
- Firing
- The process of heating materials to very high temperatures to change their chemical structure, which is required for a product to be considered ceramic.
The ruling in detail
Authority for Advance Ruling
M/s. Eco Green AAC Products Pvt. Ltd.
ADVANCE RULING NO. GUJ/GAAR/R/2026/18, dated 08.05.2026 · Gujarat
Questions before the authority
- Whether AAC Brick/ Blocks manufactured by the applicant, having predominantly siliceous inorganic composition satisfy the requirements of Chapter 69 as per the applicable Chapter Note and are liable of classification under 6904?
- Whether, once the goods are established as ceramic building units, the specific entry under Tariff Item 69041000 (Building Bricks) would prevail over the general entry under Heading 6810?
- Whether, applying Rule 3(a) of the General Rules for Interpretation, the specific heading 6904 should be preferred over the general heading 6810?
- Whether the goods being manufactured and supplied by the applicant are correctly classifiable under Tariff Item 69041000 as "Building Bricks"?
Facts
The applicant manufactures Autoclaved Aerated Concrete (AAC) bricks/blocks using a composition of entrained air, siliceous material, cement, and other additives. They sought an advance ruling to classify these products under Tariff Item 69041000 as building bricks, rather than their current classification under Heading 6810 as articles of cement or concrete. The applicant argued that their manufacturing process and chemical composition qualify the product as ceramic in nature.
Ruling
| Question | What the authority ruled |
|---|---|
| Classification under Chapter 69 | No For reasons discussed in the ruling |
| Precedence of 69041000 over 6810 | Not required to be answered In view of the answer to the first question |
| Preference of 6904 over 6810 | No AAC Bricks are correctly classifiable under heading 6810 |
| Classification as Building Bricks under 69041000 | Not required to be answered In view of the discussions and the answer to the third question |
The Authority ruled that the AAC bricks/blocks do not satisfy the requirements of Chapter 69 and are not classifiable as ceramic products. Consequently, the product is correctly classifiable under Heading 6810 of the Customs Tariff Act, 1975. The Authority concluded that the applicant's product does not meet the criteria for ceramic classification due to differences in chemical composition and manufacturing temperature.
Reasoning
The Authority relied on Chapter Notes to Chapter 69, which require ceramic products to be fired after shaping at temperatures generally above 800°C. It found that the applicant's manufacturing process, involving autoclaving at significantly lower temperatures, does not constitute 'firing' as contemplated by the tariff. Furthermore, a comparison of the chemical composition of the applicant's product against standard ceramic bricks revealed significant discrepancies. Therefore, the product is excluded from Chapter 69 and falls under the **residual entry for articles of cement or concrete** under Heading 6810.
Provisions relied on
- Chapter 69 of the Customs Tariff Act, 1975
- Heading 6810 of the Customs Tariff Act, 1975
- General Rules for Interpretation
- Chapter Note 1 to Chapter 69
For the practitioner
This ruling confirms that AAC bricks are **not classifiable as ceramic products** under Chapter 69 due to their specific manufacturing process and chemical composition. Practitioners should note that the Authority maintains these products fall under Heading 6810. It serves as a precedent for the classification of AAC blocks, emphasizing that the **technical definition of 'firing'** and chemical composition are decisive factors.
Source
This is a summary prepared from the published order, which is a scanned document. It is a reading aid and not the authority: where the two differ, the order governs. Verify every provision against the original before relying on it.
Original order: https://www.gstcouncil.gov.in/sites/default/files/AAR/4-eco_green_aac_products_pvt_ltd_0001_compressed_1.pdf
Legibility of the scan, as read: high.
Prepared 11-10-2026.
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