ISLAMABAD – A major shift is on the horizon for Pakistan’s automobile market as federal government has given green light for the commercial import of used vehicles up to five years old, introducing 40pc additional duty.
This policy promises to open up new options for consumers, but it also raises questions about the impact on domestic production.
Initially, only vehicles no older than five years will be allowed, with this age restriction set to be lifted after June 30, 2026. Every imported car must meet strict environmental and safety standards, ensuring compliance with national regulations. The final approval will come from the Economic Coordination Committee, marking the next step in a carefully structured plan.
The move stirred concern among local manufacturers, who fear that the influx of imported vehicles could weaken the domestic industry. The used car market, already under international scrutiny for potential financial risks, adds another layer of complexity to the decision.
Despite concerns, the policy reflects broader effort to expand consumer choices and align with international financial guidelines. As the final approval nears, the automobile landscape stands on the brink of transformation, with the coming months likely to reshape the balance between imported vehicles and local production.
