M/S. MOTOR INDUSTRIES CO. LTD. vs COMMNR. OF CENTRAL EXCISE, AURANGABAD

The Supreme Court examined whether the assembly of nozzles and nozzle holders constitutes the manufacture of a new product, an 'injector', under Section 35-L(b) of the Central Excise Act, 1944. The Court held that the assembly does not result in a new product, affirming the tribunal's decision that the appellant was not entitled to exemption under notification no. 217/85 due to the specific exclusion of nozzles and nozzle holders. The outcome favored the department's classification of the products under sub-heading 8409.00.